Source :www.simpletaxindia.netInterest on borrowed
capital for self-occupied property
The maximum amount of interest permissible in cases of self-occupied property is Rs 200000 wef Ay
2015-16 (Rs.1,50,000 up to AY 2014-15) (in respect of funds borrowed on or
Please note that there is no upper (maximum) limit for
interest on house loan claim for let out house property of deemed to be let out
If person have more than one house then only one house may
be treated as self-occupied.
Where a person has occupied more than one house for
residential purposes, only one house, as chosen by him will be treated as ‘self-occupied’
and all other houses will be deemed to be let out .In regard to one house
treated as used for own residential purposes throughout the year, Section 23
(2) (a) prescribes that annual value of such house shall be taken to be nil, if
the conditions mentioned below are satisfied:
•the property (or part thereof) is not actually let during
Source :www.simpletaxindia.net DEDUCTION
ON REPAYMENT OF HOUSE LOAN UNDER SECTION 80C
1. Deduction for house loan /instalment available up to Rs
150000/- under section 80C (earlier limit was Rs.100000 /-)
2. The limit of Rs 150000 as above is total limit u/s 80C
for all type of savings, plus section 80CCC(pension policy) plus u/s 80CCD
(Contributory Pension Plan). Means the aggregate amount of deduction under
above referred sections cannot exceed Rs. 1,50,000.
3. The payment of loan should be made towards cost of
purchase/construction of new residential house property.
4. The house property income should be assessable in the
hand of assessee in simple term assessee should be the owner of the house
5. The house loan should not be for addition or alteration
to,or renovation or repair of house property
6. House construction must be completed before the end of
the previous year (read details here) Completion of house means
1. completion certificate in
respect of the house prope…
NRI can operate or invest in Indian Business in the following ways:
· Branch/Liaison office with prior permission from RBI (profits of the Branch can be fully repatriated).
· Indian company which is 100% wholly owned subsidiary/ Joint Venture on repatriation and non-repatriation basis without permission of RBI in most of the sectors. For investments on repatriation basis, the prohibited sectors include retail trading, domestic wholesale trading and print media besides a few others.
· Partnership/ Proprietary business on non-repatriation basis (income is on repatriation basis) in any activity except in agriculture, plantation and real estate (except real estate development) without permission from RBI.
It is very important to note that now even the sale proceeds of investments held on non-repatriation basis can be repatriated up to USD 1 million per calendar year.