Income Tax Saving Calculator On Home Loan

First enter a value of the home you wish to buy a loan amount an interest rate attached to that loan and so on.

Income tax saving calculator on home loan. Home loan interest paid up to rs 2 lakh per year is tax deductible u s 24. Save tax on your income by taking a home loan. The two big areas where homeownership can save a lot of money are. You may claim deductions in your income tax against principal and interest payments that you make towards repayment of your home loans.

Further you can also file tds returns generate form 16 use our tax calculator software claim hra check refund status and generate rent receipts for income tax filing. Our tax savings calculator helps you understand the benefit on income tax before and after taking a home loan. Home tax saving calculator. Additional deductions are available u s 80ee and 80eea.

How does a home loan help for income tax. Every principal and interest payment made against your home loan can be claimed for deductions in your income tax. While a housing loan can help you get a house for yourself it. Tax benefits for home loans remain unchanged though the timeline for availing loans for affordable housing has been extended for a year till 31 march 2021.

You can efile income tax return on your income from salary house property capital gains business profession and income from other sources. The type and amount of income tax deduction available against repayment of home loan is governed by applicable income tax laws of government of india. Homeowners can deduct interest expenses on up to 750 000 of mortgage debt from their income taxes though when they itemize these deductions they forgo the standard deduction of 12 400 for individuals or married couples filing individually 18 650 for head of household. The income tax saving calculator computes these tax benefits by taking into account your profile type gross annual income for the financial year home loan payments and the deductions you can claim under section 80c and 24b.

Home loan repayment is eligible for tax deductions under the income tax act 1961. Tax deduction of up to rs 1 5 lacs for principal repayment on a housing loan under income tax section 80c in a financial year. Taking a home loan can help you save tax as per the provisions of the income tax act 1961. Please understand the deduction limit of rs 1 5 lacs is the combined cap for investment in all the products in the 80c basket such as ppf epf elss tax saving fds etc.

Your home loan can also help you to save taxes on your income. Section 80c allows deduction against principal repayment of up to rs 1 5 lakh every year. This calculator can demonstrate what you could be saving in taxes when you decide to buy instead of rent. Even more so after the announcements made during the latest financial budget 2020.

You may claim deductions in your income tax against principal and interest payments that you make towards repayment of your home loans. As the name suggests a home loan tax benefit calculator helps you arrive at your tax savings for the financial year.