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Any tax rebate for the stamp duty paid for a house?

Hi,

This is for users from India only.

I've recently booked a flat, and have paid Rs. 79,000 towards the stamp duty. I've also made some payment to the builder towards the first slab installment. The construction will be completed a year later, and my loan installments will also start then onwards.

Can I avail any tax rebate for the payment I've made so far? If yes, under what section? Can I still avail the regular tax benefit under section 88 (NSC/ELSS etc)?

By tax rebate, I mean any discount from the *income* tax payable.

4 Answers

Relevance
  • 1 decade ago
    Favorite Answer

    No there is no Income-tax benefit for Stamp Duty paid for registration of a new property. The amount of stamp dutyas well as the amount you paid to the builder shall be considered as the cost of the property you had acquired.

    You must note that Sec. 88 rebate is no longer available. A new Sec. 80C has been introduced where the payments are deducted from the income straightaway.

    Though this change does not affect your situtation in any regards.

  • 5 years ago

    As in step with your fact you're actually not possessing the domicile and you're repaying the indoors maximum loan. As in step with earnings Tax Act 1961 reimbursement of domicile very own loan central is authorized to be deduction united states80C And activity factor paid and accumulated united states24 for domicile is occupied and used for regular place of abode.As such your reimbursement volume is Pre occupation is allowable to be apportioned 20% in step with annum. An volume of stamp accountability/registration etc. are alloewd for deduction united states80C. and you will have the earnings singally or for the two.

  • 1 decade ago

    Stamp duty can be claimed deduction u/s 80c along with other investments subject to a maximum of Rs. 1 lac.

    Source(s): INCOME TAX ACT
  • Anonymous
    1 decade ago

    Stamp duty paid by you can be added in cost. You can reduce tax liability on long term capital gains.

    Source(s): Best Taxation Services 110015
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