A majority of individuals avail home loans as financial advances to procure funds necessary to purchase a new house. Numerous financial institutions and NBFCs provide such advances with loan amounts of up to Rs. 3.5 crore.

The Income Tax Act includes sections that can help you claim more than one individual and joint home loan tax benefits.

You have to avail a home loan before you opt for the tax benefits. For that, you have to fulfill various eligibility criteria.

Take a look at the following to know more:


While salaried customers have to be between 23 and 62 years, self-employed applicants have to be between 25 and 70 years.


Salaried individuals must have at least three years of employment to avail a home loan. Similarly, self-employed customers need to have a minimum business experience of 5 years.


You have to provide the following documents as part of the eligibility criteria:

  • KYC documents – Aadhaar, PAN, Voter ID, Passport, Driving License, etc.
  • Address proof – Any KYC document with permanent address, house rent agreement, utility bills such as electricity, telephone, gas, post-paid mobile, water, etc.
  • Bank account statements for the last six months.
  • Salary slips or Form 16 for salaried individuals.
  • Proof of business for self-employed applicants – Trade license, GST registration, export-import code, partnership deed, Articles of Association, etc.


Tax benefits on Home Loans

According to RBI loan guidelines, You can receive more than one joint home loan tax benefit if you are at least a co-borrower of the loan and a co-owner of the property.

Tax benefits on a joint home loan come under the following sections:

Section 80C

Under Section 80C of the Income Tax Act, 1961, each joint holder can claim a maximum deduction of Rs. 1.5 lakh on the home loan principal.

You have to fulfill some conditions to claim these benefits:

  • You must complete the purchase or construction of the house within five years from the date you avail the loan.
  • You have to hold the property for at least five years. The tax benefit that you have already claimed for will be added to the property price if you sell it within the five years.

You can claim more than one joint home loan tax benefit after you complete purchase or construction of the property. You can also make a claim even if the property was on rent.

Section 24

Under Section 24 of the Income Tax Act, 1961, each joint owner can claim tax benefits in 2 ways.

Standard Deduction

A standard deduction of 30% is provided on the Annual Net Value (NAV) of your house. The NAV is the Gross Annual Value0 (GAV) minus Municipal Taxes.

The GAV is the total amount that you receive from rent. A particular GAV is applicable in case your house is let out.

The standard deduction is not applicable if the property is self-occupied.

Home Loan Interest

Section 24 allows a deduction on the home loan interest. The maximum benefit that the joint holders can earn cumulatively is Rs. 2 Lakh. The part enables more than one joint home loan tax benefit on an accrual basis.

Criteria you have to fulfill to claim the benefits:

  • You must complete the purchase or construction of the property within three years from the date you avail the home loan.
  • You have to be resident at the property. However, you can claim the separate sect of benefits for non-occupancy in similar situations.

Avail a home loan from NBFCs like Bajaj Finserv and receive the tax benefits mentioned above. The company provides these loans with longer tenors, attractively low-interest rates, and several other benefits.

Make sure to fulfill all the eligibility criteria and provide the necessary documents accurately before you apply for a home loan. Also, apply for the tax deductions to save money.


Please enter your comment!
Please enter your name here