https://www.taxtmi.com/caselaws?id=470034 Section 24(b) of the Income-tax Act, 1961 permits deduction of interest on borrowings used for acquiring, constructing, furnishing, installing, or otherwise completing a house property. Replacing an earlier property-related loan with a fresh loan raised to repay the earlier borrowing does not, by itself, prevent deduction of interest on the subsequent loan. The borrowing transactions and allocation of costs must remain connected with the property, and the claim must not exceed the asset's value. Circular No. 28 dated 20 August 1969 supports this treatment for fresh loans used to repay earlier loans. en-us Fri, 10 Nov 2023 00:00:00 +0530 Tue, 14 Jul 2026 10:51:54 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=470034 Section 24(b) of the Income-tax Act, 1961 permits deduction of interest on borrowings used for acquiring, constructing, furnishing, installing, or otherwise completing a house property. Replacing an earlier property-related loan with a fresh loan raised to repay the earlier borrowing does not, by itself, prevent deduction of interest on the subsequent loan. The borrowing transactions and allocation of costs must remain connected with the property, and the claim must not exceed the asset's value. Circular No. 28 dated 20 August 1969 supports this treatment for fresh loans used to repay earlier loans. Case-Laws Income Tax Fri, 10 Nov 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=470034