The process of filing the Income Tax Return ( ITR ) could be simple and straightforward.However, at times, certain peculiar and specific situations arise which requires proper solutions to avoid any tax liability in future. "In the case of failure, the employer will deny the benefit of HRA while deducting tax on salary income. But, would the tax benefits available under the Income Tax Act for the principal and interest payments be allowed to both the spouses? In case one spouse pitches in and shares the EMI burden, the tax benefit may be lost unless he or she is the co-owner. If they are servicing a home loan and simultaneously getting HRA from the employer, claiming tax benefit from both can be tricky at times.

Source: Economic Times July 14, 2017 03:41 UTC