Know the Tax Benefits of Home Loan in the Year 2021-22 - Loan Trivia


Full-Width Version (true/false)

Monday 18 April 2022

Know the Tax Benefits of Home Loan in the Year 2021-22


home loan tax benefit 
Home loan tax benefits bring financial relief to borrowers, as it enables them to save on repayment. Therefore, one must learn about it in detail before applying for credit –

    Under Section 80C

Under this section, you can claim an income tax deduction of up to Rs.1.5 lakh on the repayment of the principal amount of home loan EMIs. It is applicable to both the purchase and construction of residential properties.

Additionally, this section also extends income tax exemption on the registration charges and stamp duty, but you can claim it only once.

    Under Section 24B

Under Section 24B, you can claim income tax exemptions on the interest payment of a home loan. However, the threshold here is set at Rs.2 lakh per year. You can enjoy these benefits even after a home loan balance transfer.

    Under Section 80EE

Under this section, first-time homebuyers can claim an additional tax exemption of up to Rs.50,000 per year on the interest payment. Nonetheless, the property value here must not exceed Rs.45 lakh, and the loan amount is lower than Rs.35 lakhs.

    Under Section 80EEA

If you apply for home loan under any affordable housing scheme, then you are eligible for deductions under this section. Here, you can get up to Rs.1.5 lakh on interest payment. This exemption is available on the Rs.2 lakh offered under Section 24B.

To sum up, as a home loan borrower, you are entitled to these benefits, but you must declare them properly while filing your IT return to receive them.

No comments:

Post a Comment