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I understand that the interest paid thru pre-EMI can be claimed over a period of five years from the date of the completion of the construction of the property.
My question is, can I claim the same benefit, if I sell the property after construction and invest the total amount in buying another property?
- Amit Amlani
Sorry. You will not be able to claim this benefit once you sell the property, even if you buy another property right away.
In fact, let's say you have claimed a deduction under Section 80C on account of repayment of principal on a loan taken to acquire the constructed property. Then, the tax saved by you on account of deduction will have to be 'refunded' in the year of sale of the property. This is irrespective of the fact of the purchase of the new property shortly thereafter.
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