Housing Loan Benefit u/s 192

[Rahul Bagaria]

We as an employer provides loss from house property benefit while deducting tax u/s  192. We consider self occupied property as well as let out property and as a result an employee gets relief for more than one house and the deduction limit is not restricted to Rs 1,50,000. We satisy ourselves with all right kind of documents in this regard. One of the big 4 firms are dusputing this claim and says that only as an employer I am liable to provide relief for one house i.e., self occupied property and interest amount should be restricted to rs 1,50,000. However going by the provisions of section 192, it no where talks about the same. Valuable opinion are solicited from the members of this site.

AI Summary

Loss from house property: employer may allow deduction for TDS if verified by employee declaration and supporting documents.
Section 192(2B) permits an employer to consider loss from house property when deducting tax at source from salary if satisfied with the employee's declaration and supporting documents; the deduction is allowable only against salary income, and although the statute does not expressly limit the benefit to self occupied properties, employers should exercise caution and verify losses-particularly for let out properties-to avoid compliance risk.