Tax Exemption on Joint Housing Loan

Tax Exemption on Joint Housing Loan

Many people buy their lovely home by taking a home loan jointly. I mean if both husband and wife are working than it is a good idea to take a loan jointly.

Now, the question is that, what about the tax benefits on joint housing loan in India? Well, both of you can claim the tax benefits on the interest and principal repayment components of the housing loan EMI. Tax benefits will be in proportion to the contribution to the EMIs.

Well, if you don’t know than let me tell you that you can get a tax break on both the interest payment and principal of your housing loan.

Just refer to Section 80C and Section 24b.

Under Section 80C you can get a tax benefit on the principal of your home loan while under Section 24b, you can get a tax benefit on the interest payment of your home loan.

So understand these two sections carefully before taking a home loan.