|
Tax Benefits on Home Loans
As per Income Tax Act, 1961, tax is charged under five different categories, one being “Income form House Property.” The tax charged here is on the annual earning capacity of the property.
Rebate on home loan
The principal repayment on the home loan is eligible for income deduction under Section 80 C.
Home loan for NRIs
- Non Resident Indians (NRI) can take loans for building a house or for buying a plot or house in the country.
- The interest rates for NRI loans are very much the same as for Indians living in the country except that the loan is sanctioned for a shorter period.
- NRIs will get only 85% of cost of home as loan amount.
- Eligibility criteria are same as that of Indians living in the country.
| 
