The last date to file ITR is here and everyone is busy collecting documents with which they can save tax. Home loan borrowers have the advantage of getting tax exemption on both principal and interest amount. If you are also a home loan borrower from PNB HFL, you would also be doing the same thing. But, do you know that now submitting PAN of the lender is also mandatory at the time of ITR filing?
PNB HFL Home Loan
The borrowers who have taken housing loan from the housing finance company, you should know PNB HFL PAN which is AAACP3682N. If you have not yet taken the loan but you file ITR regularly, you must read below the tax saving options on home loans.
Tax Benefits on PNB Home Loan
When you take a home loan, you can negotiate on rates. For instance, PNB HFL home loan interest rate starts at 8.85% and goes up to 11.75% per annum. The borrowers similarly get tax exemptions under Section 80C and Section 24. Let us read how much exemption is allowed under each section.
Section 80C: Deduction for principal repayment of home loan
Under this section, a home loan borrower can avail deduction of Rs. 1,50,000, in a financial year, from his / her taxable income for payment towards home loan principal repayment. This deduction can also be availed for registration fees, stamp duty and any other specified payment for purchase/construction of residential house property.
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Section 24: Deduction for interest repayment of home loan
The deduction amount in a financial year can be the actual interest paid or Rs. 2,00,000, whichever is lower. The house should have been acquired or construction completed within five years from the end of the financial year in which the home loan was taken.
For interest paid for the period before the house acquisition or completion of construction, the deduction can be availed separately after the acquisition of the house or completion of construction. This deduction can be availed in equal installments (20% in each year) over five financial years.
One of the most important documents you need to submit at the time of applying for a home loan at PNB HFL is ITR. Except that, other documents are given below:
Documents Required to Apply for PNB Home Loan
- Duly filled Application Form with Photograph
- KYC Documents including Aadhaar or PAN card of applicants
- Education qualifications – Latest
- Latest Salary-slips for 3 months for Salaried Employees or Certificate & Proof of business existence along with Business Profile for Self Employed professional
- Form 16 for last 2 years for Salaried employees or Last 3 years Income Tax returns (self and business) with Profit & Loss Account & Balance Sheets duly certified/audited by a Chartered Accountant for self-employed professional
- Last 6 months Bank Statements (salary account) for salaried employees or Last 12 months Bank Account Statements (self & business) for self-employed professional
- Processing Fee Cheque in favor of ‘PNB Housing Finance Ltd.’
- Self-declaration from the customer for family income
- Affidavit on requisite stamp paper on Ownership of property in case of construction or extension loan.
- Photocopy of Title Documents of the Property, Approved Plan.