Hi Harsh, Under which section of IT, we can claim rebate on Housing Loan & whether the rebate is avaliable only on Intrest Part or on both Principal & Intrest? - Subodh Deshpande
You can claim rebate on both interest and principal under section 80c of IT act. If the loan has been availed after FY 1999, rebate is up to Rs 1,50,000 on interest. Rebate up to Rs 1 lakh can be claimed on principal and Rs 1 lakh would be inclusive of rebate on PF deductions, LIC premiums, NSCs etc.
I brought a commercial property in 2005 for which the agreement has been done in Aug 2005. I had to pay one time maintainance cost and it clearly mentioned in the agreement. The agreement doesn't speak of any Service tax on maintainance cost. Now, my property is due for possession in Jan 2007 and now the builder is asking for Service tax on maintainance cost. He is quoting that govt have now changed the rule and I have to pay Service tax. Is the builder is correct in demanding Service tax ? Do I have to pay the service tax even though it is not mentioned in the agreement ? ~Santosh
