INTEREST ON HOUSING LOAN

Basic ambiguity in EPF Pension is the defective formula for calculation of Pension. ( Length of service in years multiplied with basic pay and divided by 70). Here length of service is considered from 1/1/1995 and basic pay is taken as Rs. 6500/- maximum ( which is now being considered to increase to Rs. 12000/-) only. Thus if some one retired in 2002 after 30 years of service, will loose 23 years of his service for pension purpose. That is the reason some of the employees has been getting EPF pension as low as Rs. 500/- only which is joke with working community. Then there is general notion that EPF pensioners have been paid up both the shares (Employees & employer) They forget to see that earlier PF deduction used to be in single or double digits only when salaries used to be in 3 to 4 digits. Naturally the deposits at the end of service have to be very less. This is the reason PF Dept. has been paying very small amount even of double shares to workers on retirement which cannot offset the pension criteria. Then some of the employees got their pension commuted and regular deduction is being done. EPFO stipulates that this deduction will never stop and continues forever unlike Govt. pension which discontinue such deduction after 12 years. Then PSO organization like FCI, Pb. Agro Industries Corporation , Markfed etc and many other boards and corporations are directly controlled by Govt. All rules and regulation of Govt. are followed but employees are deprived of the pension criteria used for other Govt. employees. These employees should at least be compensated in EPF pension. EPF scheme has been formulated for the welfare of working community. Deposits of workers have been accumulating hugely during the past i.e. Rs. 3.5 lacs crores in 2010, Rs. 6.5 lacs crores in 2013 and Rs. 8.63 lacs crores in 2015 besides Rs. 27000 crores as unclaimed money , as per Govt. reports from time to time. EPF Dept. has been earning almost one lac crores as interest on current deposit. Unfortunately some of the retired workers, the legal beneficiaries, are only getting fixed monthly pension of Rs. 668/- or even less. Basic reason being defective pension calculating formula which consider service period onward 1995 only ignoring 23 years of my service. Can any body survive with such meager amount ? Even old age pension(which they are not claiming) given by state Govts. is more than this. I fail to see where workers welfare is involved in the scheme.EPF Dept. is simply milking the working community. more  

Section 24: Income Tax Benefit on Interest on Home Loan Tax Benefit on Home Loan for payment of Interest is allowed as a deduction under Section 24 of the Income Tax Act. As per Section 24, the Income from House Property shall be reduced by the amount of Interest paid on Home Loan where the loan has been taken for the purpose of Purchase/ Construction/ Repair/ Renewal/ Reconstruction of a Residential House Property. The maximum tax deduction allowed under Section 24 of a self-occupied property is subject to a maximum limit of Rs. 2 Lakhs (increased in Budget 2014 from 1.5 Lakhs to Rs. 2 Lakhs). In case the property for which the Home Loan has been taken is not self-occupied, no maximum limit has been prescribed in this case and the taxpayer can take tax deduction of the whole interest amount under Section 24. Please Note: In case a property has not been self-occupied by the owner by reason of the fact owing to his employment, business or profession carried on at any other place, he has to reside at that other place not belonging to him, then the amount of tax deduction allowed under Section 24 shall be Rs. 2 Lakhs only. more  

Could you please elaborate a little on this. this seems to be very important information for some??? more