Confused About Housing Loan Deductions for 2009-10 Tax Returns? Need Clarification!

Hi,

Please note this is posted on 24th Feb 2009. I am paying Rs. 1,80,000 per year as a housing loan. The interest will be around 1.5 lacs, and the rest as principal for a loan of 12.5 lacs. How do I calculate income tax for the 2009-10 submission? Last year, the principal amount was deducted in the 1,00,000 benefit savings column, and the interest is deducted at the source itself up to 1.5 lacs. Does this remain the same, or is there a change? Please reply soon, and advance thanks to all who reply and the admin.

Calculate the principal and interest parts. Use a calculator for your records.

Hi,

In your case, 1,50,000 will be deducted at the source itself, and the remaining 30,000 (principal payment) will be deducted under 80C, 1 Lakh benefit savings. It remains the same as last year.

Regards,
DJ.