Home loan - taxation - Legal Documents
ganesh
(Querist) 03 March 2010
This query is : Resolved
I am taking house Improvement loan, where in the property is in the name of my Father(who has no other income and dependent of mine). Me and My Father are the co-borrowers. The entire EMI is deducted from my Salary.
In this case can I claim Income Tax Exemption. If not, is there a way out. But my question is immediately after taking the loan, if my father transfer the property to my name as gift. am i eligible for claiming the tax exemption solely.
Raj Kumar Makkad
(Expert) 03 March 2010
No. The exemption is available to the person in whose name such property stands and in the given facts, you are not entitled to claim such desired benefit.
So far as subsequent transfer is concerned, it is neither legally permissible nor under IT Act provisions, you are entitled to avail such benefit as the loan has already been obtained.
Kumar Thadhani
(Expert) 03 March 2010
SO far you are already claiming the incometax benefits your status willnot change since this property is transfered in your name as agift.
ganesh
(Querist) 04 March 2010
Thanks for the information.
I haven't yet submitted the original Documents of the Property, the loan is in process. Now, can my father transfer to me as a gift. if so how much will it costs and what will be the time duration. Aslo anyother type of transfer is possible?
R.V.RAO
(Expert) 08 February 2014
pl. join your father as co owner in property regn. documents .otherwise you cannot claim IT benefit without being an owner/co owner.
this is better option than registering the gift at a later date by paying gift regn charges(there is no gift tax between blood relatives )and mutating property in your name and other avoidable formalities..
A stich in time saves nine.
