Held that interest on loan to repay the original loan is entitle to deduction. As the rental income is offered as to tax as income from house property, interest paid on loan borrowed for acquisition of property is allowable as deduction. (AY. 2013-14)
Muthu Daniel Ranjan v. ACIT(2023) 222 TTJ 498 (Chennai)(Trib)
S. 24 : Income from house property-Deductions-Interest on loan to repay the original loan-Entitle to deduction-Rental income is offered as to tax as income from house property-Interest paid on loan borrowed for acquisition of property is allowable as deduction. [S. 22, 24(b)]