The income tax department offers sure benefits and exclusions to individuals who have purchased a home loan from selected banks/NBFCs or financial institutions.
On acquisition, repair, construction, reconstruction or renewal of property is entitled to a deduction as Interest paid on capital borrowed for the. Maximum amount is Rs 2,00,000 for that the eligible for deduction in the case of self-occupied property and in case of rented out property no limit of amount of deduction prevails.
You are entitled for deduction of maximum Rs.1,50,000 from the Income against the principal repayment during a financial year. Registration fee or stamp duty and other incurred expenses paid for during the transfer of such home property to the assesses, also will be considered under this amount.