INCOME TAX ALERT: This is your last chance to save Rs 1.5 lakh on home loan. The benefits under this ACT will not be carried forward from April 1.
If a taxpayer is considering to buy a house in the next financial year, he can still take advantage of this income tax benefit. The home buyer needs to get his loan sanctioned in the current financial year (before March 31, 2022) and buy the house in the next financial year.
INCOME TAX ALERT: The central government is going to discontinue income tax benefits under section 80EEA of the Income Tax Act (INCOME TAX ACT 80EEA) for first time home buyers from April 1, 2022. In Budget 2021, Union Finance Minister Nirmala Sitharaman extended the income tax benefit under Section 80EEA till 31 March 2022, allowing home buyers to claim income tax exemption up to Rs 1.50 lakh.
If the value of the house property is less than Rs 45 lakh, then you can claim income tax exemption of up to Rs 1.50 lakh on the interest payment of the home loan.
But in Budget 2022, this benefit has not been extended for a further period, which means that new home buyers will have to pay more income tax from the next financial year starting from April 1, 2022.
Let us tell you, if a taxpayer is considering to buy a house in the next financial year, he can still take advantage of this income tax benefit. The home buyer needs to get his loan sanctioned in the current financial year (before March 31, 2022) and buy the house in the next financial year.
It may be noted that to claim deduction under section 80EEA of Income Tax, you should not have any other house property as on the date of sanction of the loan.
