LIVE Online Course on NDPS by Riva Pocha and Adv. Taraq Sayed. Starting from 24th May. Register Now!!
LAW Courses

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Buying a House

(Querist) 10 August 2009 This query is : Resolved 
Dear Sir,
I would like to know that is it better to buy a house with one's terminal benifits or seek an appropriate bank loan under following constraints:

Terminal Benifits 50 Lakhs
House cost 47 Lakhs
Individual in 30% tax bracket and will continue to be so for next 4 years.

Regards

Bajaj
Guest (Expert) 10 August 2009
It is prudent to go for loan due to the following reasons :-

(i) Terminal benefits are exempted for IT upto certain limits (like gratuity, P.F.);

(ii) An individual who is left with few years of service, can utilise his current pay certificate to show his re-paying capacity; (After retirement, he may not get loan of required amount as of now);

(iii) Housing loan re-payment can be a major tax-saver element;



You need to be the querist or approved LAWyersclub expert to take part in this query .


Click here to login now



Similar Resolved Queries :





Post a Suggestion for LCI Team
Post a Legal Query