By Chaitali Dutta
I took a home loan in May 2013 and possession of flat in January 2020. Will I get only Rs 30,000 annual home rebate irrespective of whether I show it as self-occupied, notional rent or actual lease? —Alex
Under Section 80C, there is an overall cap of Rs 1.5 lakh for each financial year. Principal repayment will fall under this section. Under Section 24, you can claim up to Rs 2 lakh tax benefit for interest you pay for a self-occupied house. For a property given on lease or deemed to be leased, the full interest paid may be deducted from the taxable income. Now for the pre-construction interest you have paid on the home loan, the amount may be claimed in five equal annual instalments from FY2019-20. If you have two properties and loans on both, one self-occupied and the other let out, interest and standard deduction will only be allowed for the second property which is let out.
l My fixed deposit with DHFL has matured but it has not been credited to my account. What should I do? —Alok Tatrari
DHFL had been declared bankrupt in Nov 2019. The Supreme Court has directed the DHFL FD depositors to approach the Committee of Creditors and appointed Administrator with their applications for release of the matured and not-matured FDs. The matter being sub-judice, it may take time for the proceeds to be credited to you. Please be on the lookout for communications from the Administrator and act accordingly.
l I took a home loan of Rs 25.63 lakh in 2015 from DHFL. In 2016, I prepaid Rs 12 lakh to reduce EMI amount to Rs 15,000 and tenure to 2027. I opted for EMI moratorium in April and May 2020. What will be the effect on overall loan? —Vivek Kumar Singh
Presuming interest rate of 8.25%, your loan outstanding is about Rs 9.50 lakh today. Monthly interest accrued on each overdue EMI is Rs 106.25. If you do not clear these overdue two instalments for one year, you would have accrued an interest of Rs 2,550. If you do not clear it till 2027, additional interest repayment is Rs 17,850. That is a little more than one EMI. In this situation, your loan gets extended by slightly over three months (two overdue instalments and slightly over one EMI towards accrued interest).