Tax Benefits for Married Couples: Joint Home Loan Can Help You Save Up to ₹7 Lakh in Taxes
Home Loan Tax Benefits for Married Couples: Joint Home Loan Can Help You Save Up to ₹7 Lakh in Taxes
Mumbai, June 22, 2025 – Planning to buy a house with your spouse? A joint home loan could turn out to be your financial lucky charm—Dhanlakshmi, as they say—by offering substantial income tax benefits. While many couples are unaware, jointly applying for a home loan after marriage not only eases the financial burden but also maximizes tax savings under the old tax regime.
Joint Home Loan = Double the Tax Benefits
Under the old income tax system, home loan borrowers are eligible for deductions under two key sections:
- Section 80C: Deduction of up to ₹1.5 lakh on principal repayment.
- Section 24(b): Deduction of up to ₹2 lakh on interest paid.
If both partners are co-borrowers and co-owners of the property, each can claim these deductions individually—meaning a couple can avail a combined tax deduction of up to ₹7 lakh per financial year.
Why a Joint Home Loan Is a Smart Move
Marriage brings shared responsibilities. Instead of a single partner bearing the full EMI burden, jointly applying for a home loan allows both spouses to share the repayment load. This reduces financial stress and ensures both can claim tax deductions proportionate to their contribution.
Besides tax benefits, it also boosts loan eligibility, increases chances of loan approval, and offers lower interest rates from some lenders for women co-owners.
How to Claim Tax Benefits on a Home Loan
To claim these deductions:
- Obtain a home loan interest certificate from your lender, which breaks down the principal and interest payments for the year.
- Submit this certificate to your employer to adjust your TDS, or upload it while filing your Income Tax Return (ITR).
- If excess tax has already been deducted, you can claim a refund through your ITR filing.
Ensure that both names are included as co-owners in the property documents and co-applicants in the loan agreement. Tax benefits will not be applicable if only one partner owns the house but both are paying the EMIs.
Disclaimer:
This article is intended for informational purposes only and should not be construed as financial, legal, or tax advice. Tax benefits and deductions mentioned are based on provisions under the old income tax regime as of the current applicable laws, which may be subject to changes. Individual eligibility for tax deductions may vary depending on personal financial circumstances, loan structure, and property ownership details. Readers are strongly advised to consult a certified tax professional, financial advisor, or chartered accountant before making any decisions related to home loans or tax planning.
