Sir, under section 24 (b), i have renovated my ancestral home. May i claim on interest of the loan when the loan is of my name but the property is of my father name and he is totally dependent on me.

Ans: Pre construction interest deduction is allowed in 5 installment from the year in which construction is completed.

Ans: In the scenario you described, since you are the one paying the EMI and listed as a co-applicant on the loan, you can claim the tax benefits associated with the home loan. Here's how it works:

Interest on Housing Loan (Section 24): You, as a co-applicant and the one paying the EMI, can claim the tax deduction on the interest component of the home loan under Section 24 of the Income Tax Act. Since your name is on the interest certificate issued by the bank, you can claim the deduction. The maximum deduction allowed is up to Rs. 2 lakh per financial year for a self-occupied property.

Principal Repayment (Section 80C): Similarly, you can also claim the tax deduction on the principal repayment component of the home loan under Section 80C. However, the maximum deduction allowed under this section is up to Rs. 1.5 lakh per financial year.

Since your son and wife are the legal owners of the property, they do not qualify for these tax benefits unless they are also contributing to the repayment of the loan. It's essential to maintain proper documentation and consult with a tax advisor for accurate advice tailored to your specific situation.

Ans: You can claim interest u/s 24(b) of income tax act. If you don't have any rent, it will be adjusted against the other income upto 2 lacs.

Ans: 01. It is better to purchase the new house property in joint name of you & your father.
02. Exemption would be available u/s 54, even when the property is purchased in the name of Wife. Daughter or Son. Decisions of Tribunal/Court also support this version.
Most welcome for any further clarification. Thanks.