Can anyone explain me about pre construction period intrest in tax house property...in a easy way

Question

Tanusri · Answer

Interest on loan deductible under sec 24 b there are 2 types of interest on loan pre and post post is fully deductible for let out property and limit of 200000 for self occupied pre construction interest is paid in 5 equal instalments if the date of construction is before 1/4/2017 there is no deduction of preconstuction interest if it is after 1/4/2017 1/5 th amount is the deduction

Keerthana · Answer

That's it

Keerthana · Answer

Take the year preceding the year of completion of construction house. for eg : if you borrow the loan on 2019 and construction is completed on 2023 take the year preceding the 2023 means 2022 .compute the interest on loan from 2019 till 2022 and divide it by 5 .

Can anyone explain me about pre construction period intrest in tax house property...in a easy way

3 answers

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