In section #6 in this article youa hev mentioned that both the spouses can avail tax benefits if they go for joint Housing loans. But my tax advisor says that it is not permissible unless the house propoery is registered in both the names. Please advice. Is it permissible to claim tax benefits for both if the land is registered in Husbands name and the construction loan is in both the souses names jointly ?.
RE:RE:simple formula to clear your debt--TAX FREE RISK FREE INCOME!!
by Prakash Nadar on Jul 07, 2007 08:46 PM Permalink
hey dude, i am really bored of this post that you post to almost all money related articles. Search for a new joke
Not everyone has smart money knowledge as you seem to have presently about these points. It's still good article for someone who bears lesser information, and probably more money than you do....
#1. A very valid point - Never revolve credit. Remember, once you resort to paying only the minimum 5% amount, even the spend of the subsequent month will attract their usual 2.95% interest. #2. HDFC, HSBC and others give this facility. If you have a FD giving you a 9% interest, then you pay 2% more on your overdraft, i.e. 11% (the rate of 21-22% mentioned in the article is wrong). You can walk into any HDFC bank and check this out. #3. No smart move here. It is doing the same thing as point #2. (DON'T REPEAT YOURSELF) #4. A good suggestion. #5. A good time to buy anything is all bloody supersitious. Agree, go and get one when nobody is buying and you will get a better bargain. Even Dec end is not a bad period. #6. OK, you can also proportionately split the tax advantage for both prinipal and interest. #7. This is all bakwaz. Nobody at the lending institution really cares. In any case, how many of these big ticket loans you take say in a 10 year period #8. When you want a card, nobody gives you one. But don't take a card from anyone on annual fee payment. #9. Not practical. #10. This Sec 80C deduction is a misnomer. For anyone drawing 50000 or more, 12% is EPF, i.e. 6000 x 12 = 72000. So, all that is left to claim any deduction from home loan or anything else is just 30000. This 1 lac, the loan people use to sell their product.
REALLY NO GREAT WISDOM IN THIS ARTICLE - JUST ORDINARY EVERY DAY STUFF THAT EVERYONE HALF LITERATE SHOULD IN ANY CASE BE AWARE OFF.
RE:Point Wise Comment on this Article
by Nandakumar AS on Jul 06, 2007 11:07 PM Permalink
#10. Even a person draws 50000 need not to have 6000 as EPF. 12% EPF is calculated on the basic of the salary which normally 20000 for a person drawing 50000. which is 2400 * 12 = 28800, still 71200 can be used in principal repayment under section 80c.
This will enhance your loan entitlement and give you more tax-breaks -- up to Rs 1 lakh (Rs 100,000) per annum each under Section 80C for principal repayment and up to Rs 1.5 lakh (Rs 150,000) each under Section 24 for interest repayment
Correction 1 lakh not for each, it is together on principle and RS 1.5 lakh together on Interest
Example : if 120,000 is principle then each can share that in such way that sum should be not more then 1 lakh. even the interest sum should not cross 1.5 lakh
RE:correction: Move 6
by Omega on Jul 06, 2007 04:57 PM Permalink
You are just getting confused. If Rs. 1,20,000 is the principle paid, and interest is say, Rs. 1,60,000, then each one can get a rebate of 60,000 for principal and Rs. 80,000 for interest
RE:correction: Move 6
by rajesh on Jul 09, 2007 01:12 PM Permalink
This is what my tax advisor tells me. But the article says that both can avail the benefit Rs.1,00,000/- on proncipal and Rs.1,50,000/- on interest separately.
