New income tax rules from April 2022: In FY23, a taxpayer won’t be able to claim tax benefit under Section 80EEA as this special benefit announced in Union Budget 2019 has ended on 31st March 2022

New income tax rules: After ushering into new financial year, a lot of changes income tax rules have been implemented from 1st April 2022. Imposition of flat 30 per cent tax on income from virtual asset investment, surcharge on LTCG are some of the major changes announced by the Union Finance Minister Nirmala Sitharaman in budget 2022. In this budget, she didn’t extended the additional income tax benefit being given to the home loan borrowers under Section 80EEA. So, from 1st April 2022, first time home buyers won’t be able to claim income tax benefit on up to ₹1.50 lakh home loan interest payment under Section 80EEA of the Income Tax Act.

Speaking on the new income tax rules from 1st April 2022; Mumbai-based tax and investment expert Balwant Jain said, “In FY23, a taxpayer won’t be able to claim benefit under Section 80EEA as this special benefit announced in Union Budget 2019 has ended on 31st March 2022. So, from now onward, first time home buyers won’t be able to claim income tax benefit on up to ₹1.50 lakh home loan interest payment in single financial year under Section 80EEA.”

Speaking on income tax rules for home loan borrowers in FY 2023; Sujit Bangar, Founder at Taxbuddy.com said, “There was an additional deduction on home loan interest up to ₹1.5 Lakh on house properties valued less than ₹45 Lakh for first time home buyers. FM has not extended this scheme beyond 31st March 2022. Therefore, this additional deduction of ₹1.5 Lakh won’t be available to tax payers from 1st April 2022. Other existing deduction on account of home loan interest up to ₹2 Lakh would be continued under Section 24 of Income Tax Act.”