What tax exemption will i get on the home loan I am repaying before the possession of the home?



I booked a flat, Construction is going on and will get the possesion in jan 2014. I have applied for a loan of 15lakhs and got 6 lakhs disbursed so far. I am paying both interest and principle on the 6 lakhs amount. What tax benefit I can claim in current financial year?

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2 Replies to “What tax exemption will i get on the home loan I am repaying before the possession of the home?”

  1. your repayment instalment amount till the date of starting EMI will absorbed 20% p.a. as pre-emi instalment.


  2. There are two parts in repayment of loan. Principal payment and interest payment. Interest for the period upto construction completion will be accumulated and will be allowed as a deduction in 5 equal installments from the year of construction completion. Principal repayment can be claimed under section 80C from begining of loan itself.





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