Understanding Home Loan Tax Benefits under Section 80C and 24(b)

Home loans offer substantial income tax relief for Indian taxpayers. Here is how you can leverage Section 80C and Section 24(b) to reduce your tax liabilities effectively.

Deduction on Interest Paid (Section 24b)

You can claim a deduction of up to ₹2,00,000 per financial year on the interest paid for a self-occupied residential property.

Deduction on Principal Repayment (Section 80C)

The principal component of your EMI qualifies for deduction under Section 80C up to the combined limit of ₹1,50,000.