Need help in understanding home loan tax benefit

Need help in understanding home loan tax benefit available under section 24, which has an upper limit of 2 Lacs.

Here are the some of the dates in my case :

1) Flat booking date : 27th March 2010
2) Home Loan start date (First disbursal) : October 2010
3) EMI started from : October 2014
4) Possession from builder : March 2015

There is a clause that says "if the property is not acquired/constructed completed within 3 years from the end of financial year in which the loan was taken, the interest benefit in this case would be reduced from 2 Lakhs to Rs 30 thousand only."

The certificate that I got from HDFC clearly states :

The total amount of EMIs payable from 01/04/2014 to 31/03/2015 is Rs. 1,79,487.00. The
break-up of the amount into Principal and Interest is given below :



PRE-EMI INTEREST Rs. 1,41,933.00

Notes for the borrower :
1. This Certificate is issued in order to enable you to claim the deduction
from Taxable Income under SECTION 24(b) of the INCOME-TAX ACT, 1961.

I have claimed only HRA from my office, what are the options I have, should I go ahead and claim Rs 2 Lacs as home loan benefit while filing return?, please suggest. more  

View all 8 comments Below 8 comments
Dear shrikanth well commented more  
The wording is " ...3 years from the end of the financial year in which capital was borrowed...". more  
@Mr Ashok : What I have read till now is that the counter of 3 years start from the end of financial year in which the loan is sanctioned. more  
For let out house property no house property interest maximum limit. However the house property let out income earned and housing loan interest claimed on the said property to be relevant and reasonable. If property is joint name two related people pro rate the interest and principal paid. Suppose principal paid is 3.0 lacs and each of them contributed Rs.1.5 lacs , they are eligible for exemptiotion of Rs 1.5 lacs individually. Similar way it goes to interest also. Suppose if principal paid is Rs.1.5 lacs and the property and loan is in joint name and the single person is claiming entire exemption, the joint borrower and owner must give the declaration letter saying that he / she she is not claiming any portion of principal in his / her return of income. The same way it goes to loan interest also. more  
Mr. Sridharan, 3 year restriction IS there as per 2nd proviso to Sec. 24 more  
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