India's Real estate sector is booming with sales reaching to pre- Covid levels. apart from bank saving options and other schemes. people are opting to invest in properties for second income. Here are tips to save tax while buying property.
80EE Of Income Tax Act
Deduction of Rs. 50,000 on interest payments under section 80EE. However , there are certain condition which you need to fulfill in either to get the benefit.
80C
A home loan can help avail an 80C deduction of up to Rs.1.5 Lakh.
Besides claiming the deduction for principal repayment , a deduction for stamp duty and registration charges can also be claimed under under section 80 C but within the overall limit of Rs. 1.5 lakh.
Deduction for stamp duty and registration charges
Tax Deduction for joint home loan
If a home loan is taken jointly , each borrower can claim a deduction , however , it is required that both the applicants should be co -owners of the property.
Section 24 of the Income Tax Act
It lets homeowners claims a deduction of up to Rs. 2 lakhs on their home loan interest if the owner or his family reside in the house property .