Section 80C — Principal Repayment
Claim up to ₹1.5 lakh deduction per year on the principal component of your home loan EMI. This is clubbed with other 80C investments like PPF, ELSS, and LIC.
Section 24(b) — Interest Deduction
Deduct up to ₹2 lakh per year on interest paid for a self-occupied property. For let-out property, there is no upper cap — the full interest amount is deductible against rental income.
Section 80EEA — First-Time Buyer Boost
An additional ₹1.5 lakh deduction is available for first-time homebuyers on loans sanctioned for properties valued under ₹45 lakh. This is over and above Section 24(b).
Joint Loan Advantage
Each co-borrower (e.g., spouse) can independently claim 80C and 24(b) benefits, effectively doubling the household tax saving to ₹7 lakh+ annually.
New Tax Regime Note
Section 80C and 80EEA deductions are not available under the new tax regime (opted post FY 2023-24). However, Section 24(b) for let-out property remains available. Plan your regime choice accordingly.