Income Tax: Last chance to save Rs 1.5 lakh on home loan, this facility is going to be closed from April 1

Income Tax: From April 1, 2022, the central government is going to discontinue income tax benefits under section 80EEA to first-time home buyers.

In fact, in Budget 2021, Union Finance Minister Nirmala Sitharaman extended the income tax benefit under Section 80EEA till March 31, 2022, allowing home buyers to claim income tax exemption. According to this, if the value of the house property is less than ₹ 45 lakh, then you can claim income tax exemption of up to Rs 1.50 lakh in home loan interest payment.

Benefits not increased in the budget of 2022 

Let us tell you that in the budget 2019, the government had launched section 80EEA, giving relief to real estate. Under this, the benefit of deduction is available on interest repayment, which is other than section 24B. Later in the Budget 2020 and 2021, this facility was extended for one more year respectively.

However, now this benefit has not been extended in the 2022 budget, which means that new home buyers will have to pay more tax from the next financial year. However, if a taxpayer is considering buying a house in a net financial year, he can avail this income tax benefit while filing income tax return in the next financial year.

What do experts say?

Speaking on how a taxpayer still has an opportunity to claim this benefit while filing Income Tax Return (ITR), Mumbai based tax and investment expert Balwant Jain said, “While filing ITR from the next financial year, a Taxpayer will not be able to claim income tax benefit under section 80EEA as this tax benefit expires on 31st March 2022.

However, taxpayers looking to buy their dream home in the next financial year, they still have one financial year I have an opportunity to avail income tax exemption on home loan interest payment up to ₹ 1.50 lakh.

Balwant Jain further said, “A taxpayer can claim income tax benefit under section 80EEA, if he has the home loan approval between 1st April 2019 to 31st March 2022.

Therefore, if a new home buyer receives a home loan approval paper by March 31, 2022 and takes disbursements in the next financial year, he can avail income tax benefit on home loan interest up to ₹ 1.50 lakh paid in the financial year under section 80EEA. be eligible to claim.