I M P C Pant and I have borrowed a home loan amounting Rs 600000/- from BOB. I want to repay it by taking an interest free loan from my brother. can i do it. Please advice. I m a central government employee.
RE:Repayment of home loan with the help of brother
by Amitabh on Aug 12, 2007 12:41 PM
You can do it,but there will be two disadvantages as well.First,as there will be no interest,there will be no tax saving on that account.Secondly,you will not get any deduction under Sec 80C for repayment of principal,if the repayment is made to any person other than a bank or approved financial institution.Sec 80C clearly stipulates this.However,you may pay some interest to your brother as deduction of interest under sec 24,while calculating income/loss from house property has no such condition.Yes,your brother will have to pay tax on that interest.You can decide after taking all prs and cons in mind.
In one of the case, For purchasing Residential property loan to the tune of Rs.3 Lacs taken from mother and for initial 2 years interest also paid on that but now can it be shown as gift from mother? if yes then how? and if not then what is the way out to set off the loan amount? In the same case if loan to the tune of Rs.1.25 LAcs given to brother as advances and since 5 years it is outstanding as balance only. Can it be shown as Gift to brother in year 2007-08 and how to disclose the fact at the time of filing the return?
Hi my salary break up per month is as follows:- Basic : 7500 HRA : 3750 convence allowance : 800 spl. allowance : 4550 pf : 900 medical reimbursement : 1250
I pay a rent of rs. 2500 on shared basis.Please calculate my tax and what can be done to minimize the tax i pay
i came to know that there is a tax exemption upto 10,000 on interest income. What are all interest incomes fall under this exemption, say from NSC or FD or SB a/c?
i had given a loan of 2,00,000 to one of my friend few yrs back. as he was not able to repay me the loan,he assigned his life insurance policy in my name. now the policy is getting matured and i will be receiving around 6 lakhs.. what will be the tax treatment
RE:amount received from lic
by Ravi Shankar S. on Jul 15, 2007 04:33 PM
Better you declare the extra amount of Rs 4 lakhs as 'interest income'.
However, just check if it is morally ok for you to charge 4 lacs for a 2 lacs loan. You could return some money to your friend after retaining the normal interest amount.
Sir, I am a retired Govt.Officer. and paying Income tax regularly. My problem is that I have to pay Rs. 120 every month to collect interest from Post Office and bank deposith. Please intimate Whether I can get tax exemption on conveyance charge. by V.K.Dutta
