Assessee filed his return of income declaring total loss after setting off and carrying forward of loss from house property under head ‘Income from house property’-Assessing Officer denied set-off and carry forward of loss Assessee separately filed an application under section 154 seeking rectification of intimation issued under section 143(1) on basis that interest under section 24(b) was wrongly allowed to extent of Rs. 2 lakh only since he did not have any self-occupied property but a commercial property for year under consideration and, thus, entire amount was to be allowed. Application is rejected. Revenue had allowed similar claim of deduction of interest under section 24(b) in assessment years 2015-16 and 2017-18. Held that 2nd proviso to section 24(b) restricts deduction to Rs. 2 lakh, in case of property referred to in 1st proviso, however, 1st proviso deals with property as referred to in section 23(2). On facts, since interest paid by assessee on loan was for acquiring a commercial property, Assessing Officer erred in restricting deduction of interest so paid to Rs. 2 lakh vide intimation issued under section 143(1). The assessee was entitled to claim entire interest paid during year and consequently amount of loss under head ‘income from house property’, was to be set-off against income under other head of income and be carried forward as per provisions of section 71B. (AY. 2016-17)