There’s always an unexplained delight when anyone gets something for free! It’s a human tendency to opt for things which offer things for free or have an added advantage over others. This psych is used widely to promote and market products by the companies and there’s nothing wrong in that because both the parties get benefited from that deal and step! This is also a condition in the real estate sector. Investing in real estate has great benefits like capital appreciation, tax redemption etc. It is not a promotion technique by the companies but it is an official and fully legal step backed by the government! So feel proud if you are planning to invest in property or have already taken this step of wisdom! Here are few tax benefits which one can use if there is an investment in property:-
- Principal amount: – one can show the principal amount as a liability and can redeem tax on it! If a person is searching for new projects in Ahmedabad and upcoming projects of around 1 crore and invests fully in it, then the one crore would be a tax exemption. The whole principal amount can be considered as tax exemption and it would save a lot of money!
- Interest amount:- if the investment is through a bank in the upcoming apartment, than the interest amount can also be deducted in the income tax sheet. The interest which is paid monthly for the home loan is a part of the legal deduction and one can claim it for tax redemption.
- Depreciation: – the depreciation on any property is a legal tax exemption which can be shown in the income tax sheet and the tax can be saved. For example, if one has bought a house worth Rs 2 crore before one year and the depreciation rate is 10 %, than the amount of 2 lakh will be deducted from the tax sheet! Such a massive saving it is!
- Repairs and renovation: – one can also save income tax on a property for the repair and maintenance paid for it. For example, if a person repairs and renovates the house which costs around one lakh, then that one lakh can be deducted from the income sheet and shown as a liability which will eventually lead to saving of tax!
- Rental advantage:- if the property is bought for rental purposes, than the tax can also be deducted for the same reason! The investment is shown under the liability side of the income sheet and the income is reduced which eventually leads to saving of tax and earning more money! The rent also generates an income which can be further more used to invest in upcoming apartments. There are several people searching new projects in Ahmedabad so investing in one of these would surely prove beneficial and fruitful.
Thus, investing in real estate is the wise tip of the day as it is unique type of sector which gives guaranteed returns and helps people to grow and develop financially! Investing in upcoming apartments would prove highly rewardful as the prices are certain to go up! There are several people searching new projects in Ahmedabad now so imagine after a few years, even more number of people will be searching new projects in Ahmedabad and there would be fortune waiting to enter your bank account! Therefore invest in real estate to see the tree of wealth touching the sky and enveloping new heights of success! Invest in real estate and save taxes!