My friend has built a house wherein the house property is in the name of his wife (house wife).
He has taken housing loan from bank for which he is co-obligant (first obligant - wife and second obligant himself.) He is getting I.T. exemption for the last 3 years, but his employer is objecting to show the proof where such rule is existing. Please clarify the rule position. Since his wife has no other income being house wife and the responsibility lies with him to repay the housing loan, he is getting the I.T. exemption. Please clarify.
Husband seeks tax exemption on housing loan; deductions possible under Sections 24, 80C, and 64 despite wife's ownership. A discussion forum user inquired about tax exemptions related to a housing loan where the property is in the wife's name, and the husband is a co-obligant. The employer requested proof of the rule allowing the husband to claim tax exemptions. One response clarified that the property owner must claim deductions under sections 24 and 80C of the Income Tax Act. Another response suggested tax planning by gifting money to the wife, allowing the husband to claim deductions under section 64 for the principal and section 24 for the interest, despite the property's ownership. (AI Summary)
TaxTMI 
TaxTMI 
TaxTMI 
