Loss from House property?

I have a residential house which gives me rental income. The home loan interest is higher than my rental income. Can I set-off the excess against my salary income? If so, can it be adjusted in my TDS or should it be claimed as refund while filing returns next year?

You can set off the loss from "Income from house property" with salary income. If the TDS has not yet done, see that the TDS is reduced to the extent of loss. If the TDS has already been done, then you have to claim it back showing the loss from house property.

Q4. If there is a loss under the head 'Income from House Property', can it be adjusted against other income?

Ans : Yes, any loss under the head 'Income from House Property' can be adjusted against income under any head in the same year.

http://www.incometaxbangalore.org/faq/ho...

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In case there is still some income after these deductions, it is taxed under the head 'Income from House Property'. However, in case the net result is a loss, special treatment is allowed for set-off and carry forward of such loss from the house. According to Section 71B of the Income Tax Act, where an assessee incurs a loss under the head 'Income from House Property', the loss should be first set-off against the income from other heads i.e. income from salaries, business, profession, and other sources.

http://www1.economictimes.indiatimes.com...

Loss of House Property will be adjusted against salary income for the payment of Interest on H B L of self occupied house property,. Then you segregrated your interest on H B L in to 2 part for Self occupied and other Let out and set of loss of house property loss against Salary Income. The Loss of Let out House property will not set off agt other source of Income.