Tax Exemption on Home loan on property on Father’s name in INDIA
The deductions can be claimed under Sections 80C and 24, Income Tax Act, 1961. The straight answer is no, you can’t. You can’t claim tax benefits on housing loan payments made for a property for which you are not the owner or co-owner.
Can I show my parents home loan for tax exemption?
Loans from relatives and friends is eligible for tax deduction. You can claim a deduction under Section 24 for interest repayment on loans taken from from anyone provided the purpose of the loan is purchase or construction of a property .
Can I take home loan if property is in my father name?
The bank or any financial institution will not give any home loan to you as the property is in the name of your father. If you require home loan you have get the property transfer to your name from your father. You can avail only personal loan. In that case the rate of interest is bit high.
Can I claim tax exemption for a property in my mother’s name for which I am paying full EMI?
Ans. 1 – No tax exemption benefit even EMI is being paid by you, as property is not registered in your name. however the EMI paid can be treated as loan to your mother and can be taken back at later stage or you can treat i as gift to mother.
Can I claim tax exemption for a property in my wife’s name?
Unfortunately the answer is No. If you are a joint owner of the property then you can claim for tax exemption but if the property is in your wife’s name, you cannot claim such exemptions.
Can I take home loan on my father property in India?
Yes you can. But your father, as the owner of the land, will have to be a co-borrower for the loan. Also, you will be able to avail of the tax deduction on the loan repayments only if you (and your brother) are owners or co-owner of the house property.
Can I take home loan if land is on my mother’s name?
The answer of this question is very easy. You can get the housing loan from the bank by your mother’s name because the land is registered by your mother’s name to construct a house on your land but for it you will have to apply in the bank by your mother’s name.
Can I get home loan if property is on my wife name?
You can buy a home in your wife’s name to save money or apply for a joint home loan as co-owners of the property and share the repayment obligation too.
Can I claim home loan interest if property is not in my name?
Borrower Details – Just like ownership, the home loan must be in your name to claim the deduction. You can also be a co-borrower in the loan.
Can I claim income tax exemption on home loan without occupancy certificate?
If you are planning to get a home loan, you will need a possession certificate. Also, the certificate lets you claim income tax deductions. On the other hand, if you don’t have this certificate, your possession of the property will be considered illegal by the local municipal party.
How many home loans are eligible for tax exemption?
To sum up, income tax benefit on second home loan and the first home loan for principal repayment can be up to a maximum Rs 1.5 lakh under section 80C.
What is the difference between ownership certificate and possession certificate?
The buyer shall issue a Possession Certificate indicating the change in ownership. The certificate of ownership will demonstrate that the ownership of the property is passed to the purchaser. This guarantees that the purchaser is now fully interested in the property.
What is the difference between possession certificate and occupancy certificate?
An occupancy certificate is issued by the local authority, which shows that the project has been completed following all the construction norms and building bye-laws and is ready for occupancy. A possession certificate is issued by the developer or the seller, which proves the transfer of ownership rights.
Is completion certificate mandatory for home loan?
As a homebuyer, it’s advisable not to take the Possession Certificate without the Project Completion Certificate as in the absence of a completion certificate, the building or project is considered illegal and could invite penalties.
What is the proof of possession?
A possession certificate is proof that the property has been transferred without any illegal, illicit activities. But to confirm that an individual is the owner of the property he should have an occupancy certificate too.
What is meant by OC and CC in property?
When buying a home, it is vital to obtain documents, such as the Occupancy Certificate (OC) and Completion Certificate (CC). These are essential documents that allow you to mortgage or sell your home. Hence, homebuyers are advised to take possession of their flat or property only after these documents have been issued.
Can I get a Khata without OC?
Firstly, please note that , Since you do not get OC, you will not be able to possess an A khata for the building, since application for A khata requires OC as a document to be attached by the builder. it is a mandatory rule to procure OC and occupying any flat without OC is illegal.
Is it OK to buy a flat without OC?
Without a valid OC, your occupancy is illegal as it can be classified as an unauthorised structure by the authorities. 2. OC is crucial while applying for a home loan or loan to purchase a resale flat. You cannot even sell your property without a valid OC in hand.
Can mutation be done without CC?
CC or OC is must for taking possession of the flat. 2. There might be problem while applying for registration or for mutation of the flat.
Can I sell property without mutation?
Even as property registration is mandatory in India, mutation is not legally enforceable. Mutation is, nonetheless, important, since it guarantees that all records related to a property are updated with the government. This enables an owner, without doubt, to sell his property.
What happens if mutation is not done?
If mutation is not done, does that mean title of property is not transferred from seller to buyer, even after registering the Sale Deed? – The title gets transferred to the buyer but mutation of records is always better to show the possession of property.
What is the difference between mutation and registration?
Registration, essentially, is the process of getting the title of ownership of land legally transferred in the name of the buyer. Mutation, on the other hand, is what follows the process of registration. Getting a land mutated means that the registration has been duly recorded in the revenue records.
What is the purpose of mutation of property?
The mutation of a property is as important as the registration. It helps not only the authorities but also the new owner of the property. Here are a few advantages of mutation records. The mutation records help the government authorities in charging the property tax and other levies from the rightful owner.
Can mutation be challenged?
Any party aggrieved by an order of mutation may file an appeal before the Additional Collector (the Deputy Commissioner concerned) within 30 days of the order. In case of death, a copy of Will or succession certificate is also required to ensure that there is no malpractice in mutation cases.