Save Lakhs

by Venba Apps

Tax Benefits Calculator

Calculate Section 80C and 24(b) tax deductions on your home loan

Loan Details

₹50,00,000
10000050000000
8%
5%15%
20 years
1 years30 years

Tax Details

30%
5%30%

Loan Summary (First Year)

Monthly EMI₹41,822
Principal Paid₹1,05,683
Interest Paid₹3,96,181

Annual Tax Savings (Year 1)

₹91,705

Effective Monthly EMI: ₹34,180

Effective Interest Rate: 6.72%

Section 80C (Principal Repayment)

Principal Paid (Year 1)₹1,05,683
Max Deduction Allowed₹1,50,000
Your Deduction₹1,05,683
Tax Saved₹31,705

Section 24(b) (Interest Payment)

Interest Paid (Year 1)₹3,96,181
Max Deduction Allowed₹2,00,000
Your Deduction₹2,00,000
Tax Saved₹60,000

Smart Tax Planning

After-Tax Effective Rate

Your nominal rate: 8% → Effective rate: 6.72%

Tax benefits reduce your effective interest rate by 16.0%!

  • Section 80C saves ₹31,705/year on principal
  • Section 24b saves ₹60,000/year on interest
  • Total annual tax savings: ₹91,705

Your 8% loan effectively costs only 6.72% after tax benefits!

Understanding Tax Benefits

Section 80C Deduction

  • Deduction on principal repayment
  • Maximum deduction: ₹1.5 lakhs per year
  • Shared limit with other 80C investments
  • Available from the year of possession

Section 24(b) Deduction

  • Deduction on interest payment
  • Maximum deduction: ₹2 lakhs per year
  • Available even before possession
  • Pre-construction interest also eligible

Tax Benefits Breakdown

Year/MonthPrincipalInterest80C Deduction24(b) DeductionTax SavedBalance
2025
Year 1
₹17,034₹66,610₹17,034₹66,610₹25,093₹49,82,966
2026
Year 2
₹1,07,097₹3,94,767₹1,07,097₹2,00,000₹92,129₹48,75,869
2027
Year 3
₹1,15,986₹3,85,878₹1,15,986₹2,00,000₹94,796₹47,59,883
2028
Year 4
₹1,25,613₹3,76,251₹1,25,613₹2,00,000₹97,684₹46,34,270
2029
Year 5
₹1,36,038₹3,65,826₹1,36,038₹2,00,000₹1,00,811₹44,98,231
2030
Year 6
₹1,47,331₹3,54,533₹1,47,331₹2,00,000₹1,04,199₹43,50,902
2031
Year 7
₹1,59,557₹3,42,307₹1,50,000₹2,00,000₹1,05,000₹41,91,343
2032
Year 8
₹1,72,801₹3,29,063₹1,50,000₹2,00,000₹1,05,000₹40,18,542
2033
Year 9
₹1,87,144₹3,14,720₹1,50,000₹2,00,000₹1,05,000₹38,31,398
2034
Year 10
₹2,02,676₹2,99,188₹1,50,000₹2,00,000₹1,05,000₹36,28,722
2035
Year 11
₹2,19,498₹2,82,366₹1,50,000₹2,00,000₹1,05,000₹34,09,223
2036
Year 12
₹2,37,717₹2,64,147₹1,50,000₹2,00,000₹1,05,000₹31,71,506
2037
Year 13
₹2,57,448₹2,44,416₹1,50,000₹2,00,000₹1,05,000₹29,14,059
2038
Year 14
₹2,78,816₹2,23,048₹1,50,000₹2,00,000₹1,05,000₹26,35,243
2039
Year 15
₹3,01,956₹1,99,908₹1,50,000₹1,99,908₹1,04,972₹23,33,286
2040
Year 16
₹3,27,018₹1,74,846₹1,50,000₹1,74,846₹97,454₹20,06,267
2041
Year 17
₹3,54,162₹1,47,702₹1,50,000₹1,47,702₹89,311₹16,52,105
2042
Year 18
₹3,83,558₹1,18,306₹1,50,000₹1,18,306₹80,492₹12,68,549
2043
Year 19
₹4,15,392₹86,472₹1,50,000₹86,472₹70,942₹8,53,157
2044
Year 20
₹4,49,870₹51,994₹1,50,000₹51,994₹60,598₹4,03,287
2045
Year 21
₹4,03,284₹14,936₹1,50,000₹14,936₹49,481₹2

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