Section 24Central Act

Section 24: [ Deductions from income from house property. [Substituted by Act 14 of 2001, Section 15, for Section 24 (w.e.f. 1.4.2002).]

The Income-tax Act, 1961

[ Deductions from income from house property. [Substituted by Act 14 of 2001, Section 15, for Section 24 (w.e.f. 1.4.2002).]

- Income chargeable under the head "Income from house property" shall be computed after making the following deductions, namely:-

(a)

a sum equal to thirty per cent. of the annual value;

(b)

where the property has been acquired, constructed, repaired, renewed or reconstructed with borrowed capital, the amount of any interest payable on such capital:

Provided that in respect of property referred to in sub-section (2) of section 23, the amount of deduction shall not exceed thirty thousand rupees:Provided further that where the property referred to in the first proviso is acquired or constructed with capital borrowed on or after the 1st day of April, 1999 and such acquisition or construction is completed] [ Inserted by Act 22 of 2007, Section 11 (w.r.e.f. 1.4.2006).] [within three years from the end of the financial year in which capital was borrowed] [ Substituted by Act 20 of 2002, Section 12, for " before the 1st day of April, 2003" (w.e.f. 1.4.2003).][, the amount of deduction under this clause shall not exceed two lakh rupees.Explanation. - Where the property has been acquired or constructed with borrowed capital, the interest, if any, payable on such capital borrowed for the period prior to the previous year in which the property has been acquired or constructed, as reduced by any part thereof allowed as deduction under any other provision of this Act, shall be deducted under this clause in equal instalments for the said previous year and for each of the four immediately succeeding previous years:] [Substituted by Act 14 of 2001, Section 15, for Section 24 (w.e.f. 1.4.2002).][Provided also that no deduction shall be made under the second proviso unless the assessee furnishes a certificate, from the person to whom any interest is payable on the capital borrowed, specifying the amount of interest payable by the assessee for the purpose of such acquisition or construction of the property, or, conversion of the whole or any part of the capital borrowed which remains to be repaid as a new loan.Explanation. - For the purposes of this proviso, the expression "new loan" means the whole or any part of a loan taken by the assessee subsequent to the capital borrowed, for the purpose of repayment of such capital.] [ Inserted by Act 20 of 2002, Section 12 (w.e.f. 1.4.2003).]

Sec 23 — [ Annual value how determined. [ Substituted by Act 14 of 2001, Section 14, for Section 23 (w.e.f. 1.4.2002).]

Sec 25 — Amounts not deductible from income from house property

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