Furthermore smart to redirect lazy bucks and you may lumpy revenues such as bonuses and you will maturing financial investments toward prepayment away from loans. However, right here you ought to check out the price of the fresh loan. Whenever identifying new high priced loans to repay, look at the tax positives on the certain fund. Up to Rs.dos lakh attract repaid to the lenders might be advertised since the good deduction below Point 24.
There’s no limitation on the deduction having notice paid back with the studies fund not as much as Area 80E. These tax breaks slow down the productive interest paid down by the new debtor (come across artwork). (more…)