[samnaik_23]

I have taken housing loan from my office in the yr.2002 for flat under construction.I have already started deduction from my salary for the above loan.I have taken possession of the above flat in the current yr 2007. Shall I get income tax benefits for the accrued int.ffrom theyr 2002.If yes or no then pl. explain in detail

[delite]

I have taken housing loan from my office in the yr.2002 for flat under construction.I have already started deduction from my salary for the above loan.I have taken possession of the above flat in the current yr 2007. Shall i get income tax benefits for the accrued int.ffrom theyr 2002.If yes or no then pl. explain in detail

Generally interest paid for mortgage interest is deductible. Since your are a cash basis taxpayer, accrued interest is not deductible until paid. Exactly what a house loan is should be reviewed to determine if the loan's interest is deducitble.

[AtlantaTaxExpert]

Agreed!

You can only get the interest deduction for interest paid, not interest accrued!