can I get income tax rebate on two different housing loan?

I have been taken a housing loan from my office as well as ICICI Bank as sufficient loan ia not provided by office. I am paying regular EMI to both. Now I want to know whether I can get Income tax rebate on both the EMI paid.

4 Replies to “can I get income tax rebate on two different housing loan?”

  1. Yes. You can avail IT benefit on principal repayment as well as interest payment on both loan amounts.

    Principal repayment – Max deduction u/s 80C – Rs 1L.

    Interest payment – Max deduction u/s 24(b) – Rs 1.5L.


  2. hi

    Please ensure that the house property for which loans have been taken is already acquired or constructed in order to entitle you for rebate under Sections 24 and Section 80-C of the Income Tax Act.

    Good luck.

  3. Yes, you can avail house loan on two houses. Hope you know that your EMI includes Interest and Principle componant parts. Make sure the interest componant doesn’t exceed 1.5 laks including both houses and principle does not exceed 1 lakh.

    Go through the below guidelines.

    There are certain tax benefits for the resident Indians based on the principal and interest component of a loan under the Income Tax Act, 1961. It may help one get tax benefit up to Rs. 50,490 p.a. (approx). if interest repayment of Rs. 1,50,000 p.a. is paid. In addition to this, one also is eligible for getting tax benefits under section 80C on repayment of Rs. 1, 00,000 p.a. that further reduces the tax liability by Rs.33.660 p.a.

    These deductions are available to assesses, who have taken a loan to either buy or build a house, under Section 24(b). However, interest on borrowed capital is deductible up to Rs 150,000 if the following conditions are fulfilled:

    Capital is borrowed for acquiring or constructing a property on or after April 1, 1999.

    The acquisition and construction should be completed within 3 years from the end of the financial year in which capital was borrowed.

    The person, extending the loan, certifies that such interest is payable in respect of the amount advanced for acquisition or construction of the house

    A loan for refinance of the principle amount outstanding under an earlier loan taken for such acquisition or construction.

    If the conditions stated above are not fulfilled, then the interest on borrowed capital is deductible up to Rs 30,000 though the following conditions have to be satisfied:

    Capital is borrowed before April 1, 1999 for purchase, construction, reconstruction repairs or renewal of a house property.

    Capital should be borrowed on or after April 1, 1999 for reconstruction, repairs or renewals of a house property.

    If the capital is borrowed on or after April 1, 1999, but construction is not completed within 3 years from the end of the year, in which capital is borrowed.

    In addition to the above, principal repayment of the loan/capital borrowed is eligible for a deduction of up to Rs 100,000 under Section 80C from assessment year 2006-07.

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