INCREASE IN TIME LIMIT FOR ACQUSITION OR CONSTRUCTION OF SELF-OCCUPIED HOUSE PROPERTY
As per the existing provisions of Section 24(b), one of the conditions, interalia, to claim the enhanced deduction of interest of Rs. 2 lakhs for a self occupied house property is that the house property shall be purchased or construction shall be completed, within 3 years from the end of the year in which the loan is taken.
It is proposed to amend this Section to extend the time period from 3 years to 5 years keeping in view the gestation time taken by the housing projects.
This amendment will take effect from 1st April, 2017 and will, accordingly, apply in relation to the assessment year 2017-18 and subsequent assessment years