reversal of tax benefits availed under sec 24(b) while selling house

POSTED BY santhosh kumar ON March 17, 2013 1:27 pm COMMENTS (4)

Hi,

I sold my house within 5 years of purchase. can i avail benefits under sec 24(b) for home loan interest ? I know principal under sec 80 c is not allowed as i sold within 5 years.

If yes please point me the income tax website/document/rule which says the same. my auditor is kind of doubtful in this case.

Thanks.

4 replies on this article “reversal of tax benefits availed under sec 24(b) while selling house”

  1. Ashal Jauhari says:
    March 18, 2013 at 10:22 pm

    Dear Santosh, I’m trying to provide the links one more time. This time, i’m opening for myself into IE.

    http://law.incometaxindia.gov.in/DIT/File_opener.aspx?page=ITAC&schT=&csId=75b4aeaf-f25e-41bd-a339-aa1788291347&rdb=sec&yr=a56ea192-3ca8-433a-a515-ed68a062eac7&sec=24&sch=&title=Taxmann – Direct Tax Laws

    http://law.incometaxindia.gov.in/DIT/File_opener.aspx?page=ITAC&schT=&csId=5cc98992-765c-46b0-a433-271b2e2b6901&rdb=sec&yr=a56ea192-3ca8-433a-a515-ed68a062eac7&sec=80&sch=&title=Taxmann – Direct Tax Laws

    Thanks

    Ashal

    Reply
  2. Ashal Jauhari says:
    March 18, 2013 at 10:17 pm

    Dear Santosh, if you are opening the link in google chrome, it may not get open some times. Please try to open the same either in Internet Explorer or Firefox.

    Alternatively, you may visit the official site http://www.incometaxindia.gov.in & check there the Income Tax Act.

    thanks

    Ashal

    Reply
  3. santhosh kumar says:
    March 18, 2013 at 8:57 pm

    Hi Ashal,
    Thanks for the answer. But i couldn’t see the official page if i click the link provided. Please give me a working link and that would be very helpful.

    Thanks,
    Santhoshkumar.

    Reply
  4. Ashal Jauhari says:
    March 17, 2013 at 10:43 pm

    Dear Santosh, Section 24(b) tax benefit i.e. home loan interest is non reversible. Where as section 80C benefit i.e. home loan principal repayment benefit is reversible, if the sell out of the house in question occurs before completing 5Y of possession.

    For official version here are the links for section 24(b) & 80C.

    http://law.incometaxindia.gov.in/DIT/File_opener.aspx?page=ITAC&schT=&csId=75b4aeaf-f25e-41bd-a339-aa1788291347&rdb=sec&yr=a56ea192-3ca8-433a-a515-ed68a062eac7&sec=24&sch=&title=Taxmann%20-%20Direct%20Tax%20Laws

    http://law.incometaxindia.gov.in/DIT/File_opener.aspx?page=ITAC&schT=&csId=5cc98992-765c-46b0-a433-271b2e2b6901&rdb=sec&yr=a56ea192-3ca8-433a-a515-ed68a062eac7&sec=80c&sch=&title=Taxmann%20-%20Direct%20Tax%20Laws

    Thanks

    Ashal

    Reply

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