Regarding loan taken from Company’s Co-op Credit society

POSTED BY amitsawant1 ON March 13, 2014 12:00 pm COMMENTS (5)

Sir,

I have taken loan from Company ‘s  Co-op Credit society in Sep2013 for  a flat purchase. Further i am paying EMI of that loan since then . My question is’

  1. Can i claim Interest tax deduction from my income since its taken for home purchase for this fin year 2013-14
  2.  My company is denying that home loan tax deduction will be given for loan taken from Banks providing home loan and cannot be given for loan taken from Co-op Credit society .Is it so? If no am i eligible to take the benefit ?

REGARDS

 

AMIT

5 replies on this article “Regarding loan taken from Company’s Co-op Credit society”

  1. P Gowri shankar. says:

    Dear Sir,
    This is Gowri Shankar, Secretary of an Employee co-operative society.

    We have three types of loans in our society as below.
    1) Long term loan – 2 Lakhs, 2) Sort term loan – 1 Lakh and 3) Emergency loan – 0.3 Lakh.
    Employees can take the loan for any purpose and society has no reservations on purpose.
    Suppose some has taken loan by indicating the reason as house purchase and provided evidence document that he has used the fund for house purchase. In this case, whether society is allowed to issue a certificate for IT exemption saying that he has taken housing loan and interest paid credit society is XXX amount. Our is not a housing co-operative society and we don’t have any loan specifically for housing purchase.

    Kindly suggest.
    Regards,

    P Gowri shankar.

  2. amitsawant1 says:

    thanx. ashal

  3. ashalanshu says:

    Dear Amit, if your employer is not accepting this loan as home loan, no problem, you should claim the same at the time of filing ITR and you ‘ll get your excess Tax as refund.

    Thanks

    Ashal

  4. amitsawant1 says:

    Dear Ashal, Its not personal loan. I have mentioned in the loan application that i need it for home purchase.Also the Company Co-op Credit society has given me provisional certificate of the principal and interest paid upto Mar-14. I have used that loan money for home purchse and can prove it through my transactions.
    My question is :
    1. Why cannot i claim directly by showing it to my employer the provisional certificate and get it done ?
    2. Why claim the benefit directly from the Income Tax office during your Income Tax Return filing ?

    Regards

    AMIT

  5. ashalanshu says:

    Dear amit, the loan is taken as home loan or personal loan? In my personal opinion if you can prove that it’s home loan and not personal loan, you can claim the benefit directly from the Income Tax office during your Income Tax Return filing.

    Thanks

    Ashal

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