Today 1 April 2022, under section 80EEA benefits are not available for home buyers. In fact, the Government has introduced a new section 80EEA in the year 2019. As per this section, home buyers will take extra income tax benefits.
The government has canceled this section 80EEA from 1 April 2022. New home buyers will not get extra income tax benefits.
Additional deduction of Rs 1.5 lakh on payment of home loan interest
In the last year's budget, an additional tax exemption of Rs 1.5 lakh was announced annually on the contribution of interest on home loans taken between April 1, 2019, and March 31, 2021. This exemption was extended till 31 March 2022. But now Government in this budget 2022 tax break proposal will not extend for the year 2022-23.
Property cost must be up to 45 lakhs
For tax exemption under section 80EEA the stamp duty value must be up to 45 Lakh. This discount can only be taken by a person buying a house for the first time.
Home Loan approval required before 31 march 2022
If your home loan has been approved before 31st March 2022 you can able to apply for this benefit. You can get up to additional 1.5lakh income tax benefit.
You can buy your dream home with additional benefit.
Will keeping these deduction
Two major deductions on home loan will continue to be available as before, under section 24(B) deduction up to 2 Lakh will continue. Second, Under section 80 C deduction up 1.5 lakh remain continue. This two major deduction available on the principal amount of the home loan.
This additional exemption approved in2019 budget
Inform you that in budget 2019 central finance minister Nirmala Sitaraman has extended this additional exemption under section 80EEA up to 31st march 2022. Under this section home buyers used to get a additional income tax benefits up to 1.5lakh.