Home Loan Tax Benefits is one of the key reasons to avail home loan. In other words, it is a motivational factor to buy a property on home loan. In my opinion, it is more of a perception that may or may not be true always. This perception is so deep rooted in our minds that it has become a sort of universal truth. Whenever we decide to purchase a property through Home Loan, our friends and relatives remind us about the attached Home Loan Tax Benefits. The million dollar question is Have you did financial calculations on Home Loan Tax Benefits? Based on my experience i can say that in 99.99% ... Read More
House Property Income – 10 Facts You Are Not Aware of
House Property Income is one of the most discussed and debated topics on this blog. There are a lot of misconceptions or myths related to House Property Income. In this ball game, most of the times the tax payer end up paying a higher tax. Therefore, i thought of sharing a post to clarify the most common doubts and misconceptions among the taxpayers. As we are moving towards the end of financial year, i receive maximum queries on tax related topics in last quarter of FY. Another peak season is near the last date of filing of income tax return. The income from house property has a major impact ... Read More
How to calculate Income from House Property
Income from House Property is clubbed with the total income while filing Income Tax Return. One of the most common query i received is on how to calculate income from House Property. Income from House Property arises when you have a property which is Let out Property i.e. you receive Rental Income from such property. Though this head is titled as Income from House Property but it is not necessary that you only gain income from House property. In case of Home Loan, Income from House Property can be negative i.e. you may incur Loss from Let out property when Home Loan Interest outflow outweigh ... Read More
Home Loan Tax Benefit Deductions
For property purchase, Home Loan Tax benefits is the biggest motivator to avail home loan. In one of my previous post, i highlighted 5 Disadvantages of Home Loan. In this post, lets find out Home Loan Tax Benefits which can help you to take informed decision. As we know that Home loan EMI is basically divided into 2 parts i.e. Principal Repayment & Interest Payment. Home Loan Tax benefits are linked to these 2 components with differential tax treatment. Home Loan Principal Repayment The deduction for principal repayment can be availed under Section 80C of Income Tax Act. The ... Read More