Income Tax Benefits You Get from Home Loans
While home loans are an ideal way for you to enter your dream home, they can yield some other benefits too. One of them is Income Tax benefits that you can avail using your repayment of the home loan. The Government of India offers several tax benefits to encourage its citizens to own a home. In this article, let us see what are all the benefits you can get by choosing a home loan. Fortunately for the taxpayers, the latest financial budget enhanced the benefits one can avail from home loans. It is important that you need to know these benefits to maximize your profits.
Section 80C – Principal Payment
Under Section 80C of the Income Tax Act, an individual can claim up to ₹1,50,000 for a financial year on the principal amount paid as EMI to the lender. However, this benefit can only be claimed only after the construction of the property is fully completed.
Section 80C – Stamp Duty and Registration Charges
Under Section 80C of the Income Tax Act, you can claim up to ₹1,50,000 on stamp duty and registration charges. This benefit can be availed with or without a home loan and has to be availed within the same year in which these expenses are incurred.
Section 24B
SA maximum amount of ₹2,00,000 can be deducted from your tax amount under section 24B of the income tax act. Self-occupied properties and properties that are out for rent are also eligible under this scheme.
For Joint Home Loans
In the case of joint home loans, each borrower can claim up to ₹2,00,000 as per section 24B and ₹1,50,000 as per section 80C on the principal repayment. Here the benefit is double of what you get as in single ownership and you have to make sure all the owners are contributing to the EMIs to avail the benefit.
To Summarize
From the above article, now must have a clear idea of the tax benefits you can acquire from a Home Loan. Now that you know the benefits of home loans, it’s time to fix your lender. Cholamandalam Investment and Finance Company Limited is one such lender you can bank your trust on. Chola has been fuelling the interests of the people of India for the past 40 years by providing you with house loans that enable you to move into a nicer property and consequently improve your lifestyle. Chola provided accessible housing loans to individuals who believed it to be unattainable. Chola has made it possible for millions of Indians to realize their aspirations of owning a home. Now apply for Chola Home Loans by just giving a missed call to 07874782782 and our customer care representative will get in touch with you in a moment.