Free Calculator

Home Loan Tax Benefit Calculator 2026

See your income-tax savings on a home loan under Section 24(b), 80C and 80EEA (old regime).

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Loan & Tax Details

Marginal rate — 5, 10, 15, 20 or 30%.

Approximate loan details are enough to estimate your savings — refine them once you have your final sanction letter.

Tax saved (yr 1)

₹89,853

Total deduction (yr 1)

₹2,99,511

Effective rate after tax

7.29%

Deduction breakdown (year 1)

Interest paid₹4,21,182
Principal paid₹99,511
Section 24(b) — interest (cap ₹2L)₹2,00,000
Section 80C — principal (cap ₹1.5L)₹99,511
Section 80EEA — extra interest (cap ₹1.5L)₹0

Old tax regime only

These deductions apply under the old tax regime (the new regime does not allow them for self-occupied property). 80C is shared with EPF/PPF/insurance. Figures are for year 1; interest reduces over the loan.

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How it works

How this calculator works

Under the old regime you can deduct up to ₹2 lakh of home-loan interest (Section 24b) and ₹1.5 lakh of principal (Section 80C) a year — worth up to about ₹1.09 lakh in tax saved at the 30% slab, and more if you also qualify for the ₹1.5 lakh Section 80EEA interest deduction.

  1. 1

    Enter your loan amount, rate and tenure

    The calculator derives your first-year interest and principal.

  2. 2

    Set your tax slab

    Enter your marginal rate — 5, 10, 15, 20 or 30%.

  3. 3

    Choose occupancy and 80EEA eligibility

    Toggle self-occupied and whether you qualify for the affordable-housing 80EEA benefit.

  4. 4

    See your deductions and tax saved

    View Section 24(b), 80C and 80EEA deductions and the resulting tax saving.

Fair questions

Frequently asked questions

Under the old regime you can deduct up to ₹2 lakh of interest (Section 24b) and ₹1.5 lakh of principal (Section 80C) a year. At the 30% slab that is up to about ₹1.09 lakh in tax saved, and more if you also qualify for the ₹1.5 lakh Section 80EEA interest deduction.

Section 24(b) lets you deduct home-loan interest — up to ₹2 lakh a year for a self-occupied property. For a let-out property there is no cap, but the overall house-property loss you can set off is limited to ₹2 lakh a year.

For a self-occupied property, no — Sections 24(b), 80C and 80EEA are only available under the old regime. For a let-out property, interest deduction under Section 24(b) is still allowed in the new regime.

Section 80EEA gives first-time buyers of eligible affordable housing an additional interest deduction of up to ₹1.5 lakh a year, over and above the ₹2 lakh under Section 24(b), subject to conditions on stamp value and loan sanction dates.

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