Outlook Money
Under this section, an individual can claim a tax deduction on a home loan taken for the purchase or construction of a house. In case of purchase, a total deduction of Rs 2 lakh can be claimed on self-occupied house property.
This section allows individuals to claim a deduction for the principal paid on home loan EMI. The maximum amount allowed under this section is Rs 1.5 lakh.
Under Section 80, in addition to claiming the deduction for principal repayment, one can also claim a deduction for stamp duty and registration charges under Section 80C, but within the total limit of Rs 1.5 lakh.
Under Section 80EE, some buyers can avail of an additional deduction under Section 80EE, capped at a maximum of Rs 50,000. For one to qualify, the loan amount should be Rs 35 lakh or less, and the property's value should not exceed Rs 50 lakh. Section 80EEA.
Section 80EEA allows homebuyers to claim an additional maximum deduction of up to Rs.1.5 lakh upon fulfilling certain conditions like the stamp duty value should not be more than Rs 45 lakh.
If the loan is taken jointly by two or more people, each homeowner can avail of a deduction for home loan interest up to Rs 2 lakh each and Rs 1.5 lakh for principal repayment under section 80C.
Compiled by Syed Muskan