Can I claim tax deductions for the interest paid on a home loan?

Yes, income tax law generally allows deductions for both the interest component and the principal repayment of a home loan, subject to specified limits and conditions — the interest deduction is typically available under the house property income head, while principal repayment can be claimed under the general deductions section, subject to an overall combined cap with other eligible investments.

The exact amount and conditions can depend on factors like whether the property is self-occupied or let out, whether it's your first house, and which tax regime (old or new) you choose to be assessed under, since the newer simplified tax regime has different, more limited deduction provisions compared to the older one.

Given how these rules and limits can change from year to year, and the interaction with your choice of tax regime can be genuinely significant, it's worth consulting a chartered accountant or tax advisor when filing your return to make sure you're claiming the full deduction you're entitled to under whichever regime works out better for your specific situation.