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2022 (8) TMI 27 - AT - Income TaxRental income - Deduction u/s 24(b) - interest paid on the amount borrowed - HELD THAT:- In this case it is a fact that as per the Loan document (sanction letter dated 07/03/2011) the loan has been borrowed for Flat No.12 and garage 12G which are different from the Flat No.11 for which the assessee has claimed deduction u/s.24(b) of the Act. The deduction u/s.24(b) is available for the property which has been acquired by borrowed capital and for the said property assessee has offered income from house property. In this case the impugned property is Flat No.11 but the Loan is for the Flat No.12 & Garage No.12G which are different. Thus, the loan was not borrowed for the impugned Flat No.11. Assessee had claimed that the loan was used for making payment to the Tenants of Flat No.11, but mere oral recital does not hold good against the written document of loan which mentions Flat No.12 and garage 12G. - loan was not for the impugned Flat No.11, hence the assessee is not eligible for deduction u/s.24(b) of the Act for the interest paid on the amount borrowed from Reliance Home Finance. Also, the Flat No.11 was acquired in September 2001 by the assessee. The impugned loan was availed in 2011. Therefore, on this ground also the assessee is not eligible for deduction u/s.24(b) of the Act. Therefore, it is held that the assessee is not eligible for deduction u/s 24(b) of the Act. The Ld.Co-ordinate bench has held in the said order [2022 (7) TMI 1277 - ITAT PUNE] that amount paid to the tenant was for bettering title. Hence the interest paid on it is not eligible for deduction u/s 24(b) of the Act. Respectfully following the said decision we hold that the assessee is not eligible for deduction u/s 24(b) of the act for the interest paid on the amount borrowed from Reliance Home Finance. Accordingly, grounds of appeal raised by the assessee are dismissed.
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