Deduction under section 80E for Interest on education Loan taken for self and relatives
- Tuesday, January 10, 2012, 9:22
- Income Tax
- Articles, Featured
Have you taken an education loan to support higher studies of yourself or of your spouse, Children or for the student of whom you are legal guardian and you are not aware of the tax benefits that you are entitled to. Then here is a guide that will assist you to know tax benefits on education loans. These benefits help you to reduce the overall cost of your education loan.
The deduction under section 80E is available to an individual if following conditions are satisfied:
1. Deduction available only to Individual not to HUF or other type of Assessee.
2. Deduction amount: – The amount of interest paid is eligible for deduction and moreover there is no cap on the amount to be deducted. You can deduct the entire interest amount from your taxable income. However there is no benefit available on the repayment of principal amount of the loan.
3. Deduction available if Interest is been paid during the previous year and was paid out of income chargeable to tax which means if repayment is made from income not chargeable to tax than deduction will not available.
Note: – Earlier to previous year 2006-07 the above deduction was available only for Interest on loan taken and repaid by the assessee for his own studies.
4. Interest should have been paid on loan taken by him from any financial institution or any approved charitable institution for the purpose of pursuing his higher education. Interest on Loan taken from relatives or friends will not be eligible for deduction under section 80E.
a. approved charitable institution means an institution specified in, or, as the case may be, an institution established for charitable purposes and [approved by the prescribed authority] under clause (23C) of section 10 or an institution referred to in clause (a) of sub-section (2) of section 80G;
b. financial institution means a banking company to which the Banking Regulation Act, 1949 (10 of 1949) applies (including any bank or banking institution referred to in section 51 of that Act); or any other financial institution which the Central Government may, by notification in the Official Gazette, specify in this behalf;
5. Loan should have been taken for the purpose of pursuing higher studies of Individual , Spouse, Children of Individual or of the student of whom individual is legal Guardian.
Higher studies means full-time studies for any graduate or post-graduate course in engineering, medicine, management or for post-graduate course in applied sciences or pure sciences including mathematics and statistics;
Income tax department has added (W.e.f. A.Y. 2010-11) additional fields of studies (including vocational studies) pursued after passing the Senior Secondary Examination or its equivalent from any school, Board or University recognised by the Central or State Government will also be covered under deduction in respect of interest paid on loan taken for higher education.
6. Interest should have been paid for the loan taken for the purpose of pursuing his higher education or of the spouse and children. From A.Y. 2010-11 Relative also includes student for whom the individual is the legal guardian.
7. Deduction period: - Deduction shall be allowed in computing the total income in respect of the initial assessment year* and seven assessment years immediately succeeding the initial assessment year or until the interest is paid by the assessee in full, whichever is earlier.
The tax benefits on education loan are only valid once you start the repayment and moreover they are only available up to eight years. For instance if your loan tenure exceeds eight years, you cannot claim for deductions beyond eight years.
Hence it is better that the education loan is repaid within eight years. Unless if the loan amount is very high and it is difficult to afford a high amount of equated monthly installment (EMI), one should not opt for education loan with longer tenure.
*Initial assessment year means the assessment year relevant to the previous year, in which the assessee starts paying the interest on the loan.
8. Loan should be in the name of Individual: - Deductions on education loan can only be claimed if the loan has been taken in your own name. If your parents, spouse or sibling has taken the loan for your studies, then you are not entitled to get tax benefit.
9. The loan includes not only tuition or college fees but also other incidental expenses for pursuing such studies like hostel charges, transport charges etc.
10. Repayments of education loan NOT covered under Section 80C.
11. There is no condition that the course should be in India.
Note – The Article was First Published on 12.09.2009)
Related posts:
- Education Loan – The Mantra to Save Tax under section 80E
- In respect of interest on loan taken for higher education – Financial institution notified
- Deduction u/s. 80E for educational loan extended to loan for vocational courses and studies in all streams including commerce and art
- Govt. may provide Interest subsidy on education loan to student from weaker section for moratorium period
- Deduction on children’s education u/s. 80C & 80E
My son took a loan from a bank for a 3yr vocational course starting in 2005. Interest became payable in 2007. This has not been paid as he enrolled for advanced course. I wish to liquidate all outstandings, including interest. Can I claim benefit under 80E or any other section?
You are not eligible for any benefit as loan was taken by your son so he is only eligible for benefit u/s. 80E.
Me and my wife are co-applicants for an education loan taken by me. The EMIs are paid by her as I am studying and not earning anything. Who can claim the benefits u/s. 80E?
Although you and your wife is co-applicant you should show all the loan in wifes balance Sheet. As Loan is also in the name of your wife and she is paying EMI so she can claim deduction u/s. 80E for Interest Paid on Education Loan on the studies of spouse.
my daughter is pursuing BE. And as she is a major the bank has insisted that the educational loan should be in her name and i am only a guarantor, however i have been paying the interest for her loan out of my salary am i eligible for deduction under 80E .
JAGAN
To claim deduction under section 80E loan should be in your name.
i got a loan for my B.Tech .
now i’m working in a software concern.now i am repaying the loan from my salarary.am i able to show the repayment of loan for my UG degree for IT deduction
Only Interest on Loan will be eligible for deduction u/s. 80E. You can claim the deduction of the same.
can a parent claim interest exemption on loan taken in the name of son for pursuing higher education outside india.
No. Loan should be in the name of Parents. As loan is in the name of Son so only he claim deduction u/s. 80E.
I have taken an education loan for my MBA from an overseas financial institution.am I eligible for claiming interest deduction?
There is no condition in section 80E that the course should be in India. So you can claim deduction for interest.
I am repaying MY education loan through EMIs of say 5000 per month and the interest on this is say 20000. Please let me know the amount which is rebatable from tax. Is it only 20,000 or the entire amount i paid (60,000). Please site an official page for the answer. (I am asking this because a banker told me)
Only Interest will be eligible to deduction under section 80E. As far as official site is concern you may check on the Income tax site of Government of India or you can read Income Tax and section 80E in that.
Query: The Education Loan interest paid will be deducted from the Income and will not be considered part of Taxable Income. Does this interest amount also included in the Cap of 1,00,000/- ? Someone said that it is over and above the limit of 1,00,000/-. Kindly confirm.
Hi I took a education loan from SBI. I am planning to deduct the intereset paid on educaton loan under 80E. I need a format in which I have to request a letter from bank. Is there any specific format I have to get the letter from them. Do I need to get the statements also from the bank.
There is no format. Bank can simply write in a letter that on So and Account No they have received So much amount as Interest. And Interest is on Education Loan.
You need to keep loan statement with you to produce when Income tax department ask for the same.
Hi,
I have taken an educational loan for my brother.I am paying the interest applicable.Am i eligible for tax benifit under section 80 E.
No as Loan should have been taken for the purpose of pursuing higher studies of Individual , Spouse, Children of Individual or of the student of whom individual is legal Guardian.
I have taken education loan for higher studies in 2002 and started repaying from 2004 when I was abroad. I am working in India starting this year, can I claim total interest from 2004 for deduction in 2009-2010 taxable income?
sir,
i am studying aerospace engg in ukraine, i get 8 lack from pnb bank.
now ,i heard a new law is came so education lorn have no intrust is this true?
faithfully
anoop
Hi,
I am also confused about the interest calculation. Is it the amount of interest charged for the current financial year in my loan account or the interest portion of the EMIs repaid till March. If latter, how do we calculate the same?
thanks and regards
Yatish
Hi
I intend to do executive MBA for which I would like to take a education loan. The MBA is not full time but I do need to go to college campus every 6 weeks so it may be termed as part time. AM I eligible for tax deducation for such education loan?
Thanks
Hi,
My wife had taken Education Loan before marriage. She is not working now. I am paying the Interest amount.
Am i eligible for Tax benefit ?
Thanks,
Sahoo
Although you are paying loan and interest but since loan is not taken by you so in my opinion deduction u/s. 80E is not available to you.
Hi,
i had taken an educational loan in 2003. Principal : 1.5 lac.
in 2009 i repaid the whole of accumulated principal + interest.
say 2.5 lac at a single time.
Will i be able to get the difference of what i paid this year and my principal as tax deduction for this financial year?
The bank only gave a statement of interest as 12k which is teh interst for the loan amnt for this financial year alone.
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hi
Can some one tell me, what is the maximun limit of the amount on which one can have tax relief deduction..???
No Maximum amount specified u/s. 80E
Hi ! Tax Guru,
I have taken educational loan for my brother who is dependent on me as my parent are no more.In appliction form of management institution I have signed as guardian.
Am I eligible for deduction of interest under 80E ?
Would appreciate your expert comment on same.
Hi Tax Guru,
I have taken educational loan from State Bank of India for my MBA in overseas in 2006. I have paid almost 4+ lakhs towards my interest started paying since 2 years, however I am earning in New Zealand. The loan is in my name
1.Do I qualify for the deduction of interest under 80E?
Do I have to work in India to qualify?
if not>
2. What is the otherway of deduction of interest under 80E in my situation?
Will really appreciate your comments on this
Thanks
Sir,
I had taken an educational loan back in 2005 for Rs. 170000.00. While starting repayment in 208, I saw the principal has risen up to Rs 230000 including the 2005 to 2009 interest. I have paid Rs 50000 this financial year. Now my outstanding is 189000 which is still more than my drawing limit (i.e. Rs 170000) So the whole payment has contributed to interest only. Can I get tax exemption of the total 50000 I paid this year (which includes interest of previous years also) or only this year interest of Rs 22000. please reply soon
I had taken an educational loan back in 2005 for Rs. 170000.00. While starting repayment in year 2008, I saw the principal has risen up to Rs 230000 including the 2005 to 2009 interest. I have paid Rs 50000 this financial year. Now my outstanding is 189000 which is still more than my drawing limit (i.e. Rs 170000) So the whole payment has contributed to interest only. Can I get tax exemption of the total 50000 I paid this year (which includes interest of previous years also) or only this year interest of Rs 22000. please reply soon
I have taken loan from a US Bank for my studies abroad. i.e. the student loan is NOT from Indian bank.. Now I am working in India.. can i take deduction?
i have taken loan from Karnataka Bank for my CA course, am i ELIGIBLE FOR 80E?
Sir,
My child is doing B.Tech. I had paid Ist semister tution fees of Rs.32000/- from my savings and afterward I take educational loan of Rs.25000/- for second Semister tution fees. My question is that can I claim full amount i.e. 32000+25000 = 57000/- under section 80C as tution fees alongwith interest on euducational loan under section 80E. or I can claim only 32000 as tution fees.
You can claim Rs. 32000/- as deduction under section 80C in respect of tuition fees and you can also take deduction under section 80C in respect of Rs. 25000 paid out of loan taken by you, so total deduction under section 80C will be Rs. 57000/-.
You can also claim deduction under section 80E in respect of Interest paid on loan of Rs. 25000 taken as education loan from banks or financial institution.
My son has taken an education loan of Rs.20 lacs from SBI to pursue his higher studies abroad. He is the first applicant and I am the co-applicant. I am paying the interest amount towards the loan. Am I entitled to claim deduction under section 80E in respect of the interest paid ?
my son has taken loan for around 12 lacs and my self asha malhotra (mother) is co-applicant and I have bben apying interest on this loan since april 2009 till date .
can I take tax exemptions on this interest paid till date from my employer from gross income.
pl reply soon as the date for tax is approching fast and I need to convey my employer to provide me exemption under section 80E. ctsrst lf
my son has taken loan for around 12 lacs and my self asha malhotra (mother) is co-applicant and I have been paying interest on this loan since april 2009 till date .
can I take tax exemptions on this interest paid till date from my employer from gross income.
pl reply soon as the date for tax is approching fast and I need to convey my employer to provide me exemption under section 80E.
sir ihave taken education loan 110000 i have paid 85000 principle ammount and 7742 interest, i have also invested one lac in mutual fund.can i get tax exemptionfor on one lack under section 80c and on 7742 under section 80e or i will get only exemption on only one lac under section 80c please reply
Interest can be claimed under section 80E.
Investment in mutual fund amounting to Rs. 1,00,000/- can be claimed under section 80C if the investment is in tax saving schemes.
my son has taken loan for around 12 lacs and my self asha malhotra (mother) is co-applicant and I have been paying interest on this loan since april 2009 till date .
can I take tax exemptions on this interest paid till date from my employer from gross income.
pl reply soon as the date for tax is approching fast and I need to convey my employer to provide me exemption under section 80E.
Read more: http://www.taxguru.in/income-tax/deduction-under-section-80e-for-interest-on-education-loan-taken-for-self-and-relatives.html#ixzz0gkK48BVg
Yes you can.
Before marriage my wife taken educational loan .She is not doing any job and i am paying the monthly EMI . Is am eligible exemption under section 80E ? . What should it required for eligibility under section 80E ?
s s kushwaha
sir my dauther is studing in B.E. i taken a eduction loan from bank what i can claim interest under section 80E
Thanks Mr sandeep kanoi for conveying and confirming me to claim tax exemptions from gross income from my employer for interest paid by me.
once again for the quick response
asha malhotra
Hi i am doing CPA, is it considered as full time or part time, since it is a costly course and professional one can I get int benefit u/s 80E?
ashok
Dear Sir,
I really appreciate for the answers you have provided to the community.
I have one question for you
I have taken educational loan from State Bank of India for my Master’s degree in overseas in 2006. I have paid above 6lakhs towards my interest and I had started paying since 2 years from Australia, however I am working in Australia and the loan is in my name and my Dad is the guarator
1.Do I or my Dad qualifies for the deduction of interest under 80E? If he cannot claim can I claim for it if I am working overseas? – I just have a doubt if you can give me some clairifications on that?
Many thanks for your support
Kavya
Dear Sir,
I really appreciate for the answers you have provided to the community.
I have one question for you
I have taken educational loan from State Bank of India for my Master’s degree in overseas in 2006. I have paid above 6lakhs towards my interest and I had started paying since 2 years from Australia, however I am working in Australia and the loan is in my name and my Dad is the guarator
1.Do I or my Dad qualifies for the deduction of interest under 80E? If he cannot claim can I claim for it if I am working overseas? – I just have a doubt if you can give me some clairifications on that?
Many thanks for your support
Kavya
I have taken a loan from Citi bank in U.S. for studies in U.S. Does s 80E apply in this case. In response to one of the queries in an earlier post you have responded that s 80 E applies. Why is it so? Is citi bank, U.S. part of the definition of ‘financial institution’ as envisaged in s 80E or is there any court ruling in this regard.
My employer does not consider this to be covered u/s 80E and hence they deduct tax at source not considering this exemption. Pl back it up with sound reasoning.
I have taken loan for my son for study in Canada for the course of Chmical Lab Technician this is diploma course and course duration is for two years. the loan is deducting from my salary of SBI. Loan has been sanctioned by HDFC Bank and in sanction letter name of applicant is shown of my son’s name and my name is as a co-applicant can I avail the benefit of Interest component under Section 80E ? Pl comply
Thanking you
J B Trivedi
I have taken loan for my son for study in Canada for the course of Chmical Lab Technician this is diploma course and course duration is for two years. the loan is deducting from my salary of SBI. Loan has been sanctioned by HDFC Bank and in sanction letter name of applicant is shown of my son’s name and my name is as a co-applicant can I avail the benefit of Interest component under Section 80E ? Pl comply
Thanking you
J B Trivedi
hi, my bank SBMysore, says that i can get a 1% rebate on the interest of my education loan if i pay my interest regularly in the moratorium period.is this rebate applicable to the interest money i have paid during the moratorium period or does it apply to the interest during repayment of loan??? thanks
Hi, I have taken education loan now I am paying my loan as early as possible so how much amount can I show in my investments, and can I show my whole EMI in the declaration or I can only show the interest which I m paying.
Hi,
I have taken education loan from 2006 to 2009 for my pg course and during my studies my father used to pay interest amount.Now i got the job and my loan is 3.5 lakhs and i want to pay installment 20 k per month then how to declare this in it declaration…..pls help me…..
Hi, I have taken education loan from 2008 to 2011. What documents are required to be submitted for claiming tax exemption on the interest rate I pay?
can I claimed both Int & repayment of loan for 80E
please guide
Only Interest can be claimed.
Hi all,
Some of My friends want to give some donation from USA, UK & Ukaine to India a Temple having 80g & Fcra.
How much exemption they are going to get…. Can anybody help me to solve my query of Friends.
Thnks.
Dear Sandeep Ji,
I got my education loan disbursed by SBI in May 2009 for my MBA abroad. Though I was studying from June 2009 , I also regularly serviced the simple interest portion. As of today the principal amount remains the same as in May 2009 because of this regular payment.
1. Is Sec 80E exemption applicable to the simple interest portion that I paid in 2009-10.If so can I claim that when I file returns for fin yr 2009-10? I completed my studies in May 2010 and my EMI will start from June 2010.
Thanks Sir.
Dear sir
I have taken education loan for B.tech course(2004-2008)from a gramin bank.I got the job now only.Total due now reaches near to 3 lakh.can I claim for any interest.If possible where i have to approach
Dear Sir,
I took education loan for PG (2007-09).
In FY 2009-10, I paid the outstanding interest (interest charged till Jan 2010)= 70000 Rs.
Am I eligible for tax benefit on
1. Interest Paid = 70000 Rs
or,
2. Interest charged by bank from april 2009 to march 2010 = 30000 Rs?
Kindly clarify & quote the source (IT dept) if any.
Thanks a lot
HI TAX GURU
I HAVE TAKEN LOAN FOR RS. 18,00,000/- FOR HIGHER STUDIES IN USA IN THE YEAR 2005, MY FATHER HAS STARTED REPAYMENT FROM 2007-2008 THE INTERST AMOUNT FOR RS. 2,23,000/- FOR THE YEAR 2008-2009 AND 2009-2010 FOR RS 1,81,000/-
NOW I CAN EXEMPT THE TOTAL INEREST PAID OR WHAT IS LIMIT FOR U/S 84E
KIDNLY ADVICE ME
hello sir ……. i have taken loan in june 2009. this loan senssion for (2009-2010) mba course .Is i come in this scheme.if i will come in this scheme then tell me sir …………..
hii gentlemen..i hv finished B.tech recently..i had taken 2.5 lac education loan in 4 installments,one in each yr of Btech for college tution fee..(i had not taken 2.5lac at a time).i hv not paid any money on interest head.accoding to bank rule , i will hv to payback from november 2011.i belong to SC/ST category..so wat are the taxation befits i can claim,and wat is the procedure of claiming deductions…is it possible to ask for the complete relaxation from he interest …can i get deduction from my monthly tax ammount>??/
i have taken education loan before my marriage,is my husband is elligible for tax deduction
I want to take a loan for studies for my sister. It falls under the Vocational studies category. will i get a tax exemption for that under section 80E.?
MAY BOSS HAS TAKEN A EDUCATIONAL LOAN IN THE NAME OF HERSELF AND HER DAUGHTHER FOR HIGHER STUDIES IN ABROAD. MY BOSS IS REPAYING THE LOAN INSTALLMENT. WHTHER SHE CAN TAKE THE SET OFF OF INTEREST ON LOAN OR NOT.
want to know how can i find the balance of the loan amount on the internet.. please guide me…
Hi,
i am planning to apply as co-applicant for my brother higher education loan and pay monthly interest as EMI.
Please let me know if i am eligible for availing tax benefit?
Regards
Niranjan
I am a retired person. I am co-borrower of education loan (from SBI)taken by my son in June 2008 for study of full time MBA. He completed the course in April 2010 and got a job in May. He has started repayment of loan from June 2010. Kindly advise whether my son would be eligible for benifit under section 80E for income tax computing purpose and upto what maximum amount. Regards
My son, is going to manila for his MBA at AIMS.
total cost of education fees and other expenses is usd 36000 about 17.00 lac.
If we avail educational loan from bank than scheme is
@ 11% pay interest first 2 years and than for 5 yrs pay EMI of about 24000/month which covers principle and interest.
Loan will be given on anme of my son only.
My office CA said that i can avail befit of total interest paid of 2 yrs i.e. 110,000 x 2 = 220,000 and further 5 years all interest.
From April 2010 my salary is increased from 900,000 to 12,60,000 per anum. I avail full beneifits under LIC, housing loans and Mediclaim. Can this educational loan taken be taken advantage as well?
I have 12 lacs ready for paying the fees. i can put this as colateral security and take bank loan. PLEASE CHECK N CONFIRM IF ITS RIGHT THING TO DO? As a father will i be able to claim total interest benefit.
Hi,
I’m paying the tutuion fees for my brother who is dependent on me as my father is no more & I’m also bachelor.
How can I claim these amount as taxable?
Regards
Sekh
hi,
Sir I took education load for my B’Arch degree at IIT Kharagpur from PNB in 2007 now I am in my 5th year (final yr)
I have just a rough idea about the deduction in interest of loan.
I went to the PNB iit kharagpur branch also, but the official told me that no such thing has been finalised by govt. and whatever you have heard about the deduction thing is purely a rumour.
Sir, I request you to kindly guide me how should i proceed through a proper channel so as to get the benefit by this ammendment in act.
The education loan is in my name and it is around 3.5 lacs.
thankin you,
regards,
gaurav uniyal.
I the Mr.Anand who have taken the loan in 2004 end. My course duration was from 2004-2008. I had taken the amount 88,000 from union bank. now with interest it is raised to 1,20,000.we have not paid the amount as we supposed to pay it from last year itself .
sir, i think now the interest is 32,000.any reduction can happen by any govt. rule as I heard that central govt is made a scheme that only principal amount to be paid, interest is not suppose to pay. is it? pls give me the idea about it. please, i would like to know it.
thank you sir,
hope you reply with some suggestions.
Hi TaxGuru,
I have taken an educational loan whose repayment starts from my getting a job. I am emplyed at the moment and have the means to repay the amount in 1-2 years. But, uner the loan terms I may extend the payment to 5 years.
My question is: Which is be more cost effcient for me:
(1) Repay the loan amount in 1-2 years by making lump sum payments.
(2) Stretch it to 5 years so that the benefit u/s. 80E can be availed as the only difference in repaying in 2 yrs and 5 yrs is the interest factor. Since, that is subject to deduction u/s. 80E, why to spend the lump sum?
Any help would be highly appreciated.
Thanks in advance.
hello sir i wanna do b.tech but my father is not unable to give my fee nd my father taking education loan pls advise me which bank or instiute or trust in alwar rajasthan is better for education loan pls rply
Hi Hasan, i can understnd d logic behind ur question bt imp thnk is ur going to get the benefit in the form of Sec.80E to the extent u lose in the form of Interest.
Hence, i request you to pay in lumpsum n close the loan within 2yrs and make investment in some other investments under which u can get deduction U/sec.80C and can expect sme knd of appreciation in tht investment over a period of time.
I am pursuing my MBA in Sikkim manipal university.I have not taken any loan for this and for me income tax deduction is happening as TDS. Can I get any incometax relief for the amount paid for this ?? I
i have taken loan from bank of baroda and they are taking interest to my parents on amount during the study is there is no interest on education loan during study?
My sister has got the admission in Dental college will she get the the interest free loan, my family income is less then 2 lac. please help. Also we have tried in Canara bank But thy denied for any such scheme. Thanks
I have taken Education loan from SBI in the year 2006.I just want to know can i avail the deduction of interest under 80E ??????
I have a loan of Rs. 1,00,000 from SBI for the period 2008-2010. I will start paying the amount from December 2010. How much tax can be deducted and what I have to do for that?
i have taken a loan from SBI of my locality for pursuing PGDM course which is approved by AICTE and i want to know that is the interest chargeable to on my loan amount will exempted or not….
yours ARUN
Sir i have taken education loan from bank in 2006 amount is 1,20,000.00Rs for ding degree, now ( 2010 ) wit intersets it is 1,80,000.00Rs and i also got letter from the bank to fill the money 3,600.00Rs per month ( with 60 installments ),i am dinig job in private comapny and also paying tax per month ,education loan comes under 80C section ,but company will pay the 80CCF and 80C loans ,is it possible to comapny will pay the 3,600.00Rs per month or is it possible to can i avoid the paying the tax i,e this monthly paying tax can i pay as bank loan with 3,600.00Rs per month ? plz help me thank you sir.
I am student of IIPM. My family condition has not financial strong. So i had take the education loan form 4 Lack for the 10% interest in the cource MBA . So I have question why indian central government had not apply the roles for the 4% interest in education loan.
If Rahul Ghanthe is also said the why education loan interesr is higher than other loan . Like housing loan interesr is low 8% And education loan interest is higher 10%. So plese Reply me.
Thank You.
I have taken loan from allahabad bank.
is there any rule for rebeat in interest according to goverment rule
sir…………
i have taken education loan amount 280000 from soth malabar gramina bank.can i go ahead with section80E to deduct my loan ..please give an answer
I have taken edu. loan of 3.5 lakh for my son for pgdm course in Oct 09.I have paid interest in FY 2010-11 before starting EMI.Is it deducted directly from taxable income .Give me detailed rule under 80 E to quote .
Hi,
I have taken a loan for a professional course, which is SAP (1 month full time).
I have taken this education loan from HDFC Bank, Kindly let me know if I could use section 80E and claim the interest part which i am paying.
Thanks & Regards,
C.S.Balaji
Hi,
I have taken a loan for a professional course, which is SAP (1 month full time).
I have taken this education loan from HDFC Bank, Kindly let me know if I could use section 80E and claim the interest part which i am paying.
Sir,
I have taken education loan from a nationalised bank in 2005. I am claiming interest paid, from my salary bank a/c, on loan from Income tax.
My questions:
1. My son is earning now, whether I can claim interest on loan, still now ?
2. I have read somewhere that repayment of education loan is also allowed u/s 80 E. Can I reopen my previous assessment to claim repayment of loan.
Thanking you.
Pankaj Kapadia
Sir,
I have taken a loan of 2 lacs for my Graduation from a bank. I start filling my loan in Jan 2010 and amount was around 2.9 Lacs.
In the financial year ended in 2010, I didn’t submit any document for tax rebate.
By the starting of this financial year as on 01/04/2010, I have to pay 2.54 Lacs; and by the end of October I have paid 2.54 Lacs + 1600 as interest for this financial year.
My Question is what will be the amount for which I will be getting tax rebate.
I will be very Thank full to you, if you clarify my doubt, as I am getting different input from different sources.
I HAVE TAKEN THE EDUCATION LOAN FOR MY WARDS FROM NTPC LTD .MAY I GET THE TAX BENEFIT?
availed house loan for daughter. But during this finanical she is married . can i claim here education loan interest for this financial year. if no can her spouse claim the same
Sir,
I have taken education loan to my son. Now I am paying interest on education loan. Can I eligible to claim under 80E. Please clarfy.
Hi, I have taken a loan from a lending institution IDAPP (http://www. edfinancial.com/IDAPP ) in the U.S. for mgt.studies in U.S and continue to pay interest and principal. Does section 80E apply in this case ? Is IDAPP in U.S. part of the definition of ‘financial institution’ as envisaged in section 80E and is there any court ruling in this regard. If yes , Can you please send any court rulings in this regard so I can have this sent to my employer for appropriate deductions. Also I continue to work in india and not in the US after the completion of the program.
Hi,
I took Education Loan for my son in 2004,he has completed his study in 2008 and after that from 2009 he is making repayment.Can I avail the rebate under section 80C for the interest amount paid during the financial year.
Please reply.
Hi,
I would like to know whether the deduction under 80 E is over and above the total limit of 1 lakh or included within the limit of 1 lakh.
it is a good help for me to use this site to clear my doubts
i took an education loan and paying rs 5200 per month and interest rate applicable is 11%..so let me know how much deduction i can claim?
i took over-draft facility from Bank. I pledged Rs.16 lacs worth fixed-deposit in Bank and drew a over-draft of Rs 16 lacs there against and paid to an Indian institution based abroad and which is affiliated to a foreign university to fund education of my daughter. This money which I fixe-deposited was out of my retirement dues which I got this year.
Can I claim deduction of the above payment for the purpose of income tax.
i took loan for my two daughters for higher education.
i requested to the bank that i wanted to deposit the interest on loan but they have not taken any interest for payment of interest on education loan. they simply inform me that i need not to worry for the payment of interest. the bank will inform for repayment and interest. please advise me the procedure for getting rebete under section 89E
i took education loan facility from punjan national Bank. wich is Rs. 20.0 lec conditaion of Bank interest normal charges @ 11% per Qtr and instolment due after complication of study or period of 3 year i drew amount by NEFT of Rs 10-10 lacs there two part against and paid to a foreign university to fund education of my daughter. bank debited interest up to 31.12.2010 Rs. 42413/-
Can I claim deduction of the above payment for the purpose of income tax.
what about u.c.o bank edu loan interest?
I have taken loan of Rs 1,50,000 from Credila Financing company( HDFC PVt Ltd) for part time MBA.Can I claim deduction of the above payment for the purpose of income tax
i think u cant claim education expenses but ur parents will Claim children education allowance exemption section 10(14) limit is 400 per month for one child and its limit only for two child this is only one condition ur parents get Child education allowance in salary break up & children education
second think you can claim interest amt higher education loan interest ant u can claim in VI -A under section 80E full amt
Children tuition fee is exempted in under section 80C up to 1Lakh
regards,
kalpana
8828142221
I had taken the education loan in nov 2003 for my B.E. Amount was 150000 principal. I started paying in june 2008 & completed it in July 2010. I paid around 91000 interest. During my loan payment i was not under taxable category. But now i am in taxable category for the year 2010-2011. So can i claim under section 80E for exemption of the interest paid during the year (june 2008-july 2010) for the year 2010-2011. Kindly clarify my doubt
Hi
i had taken an education loan of 3.5 lacs in june 2007 for higher studies and repaid it in dec 2009. The totak interest component was rs. 72,061 (out of which rs 25374 pertains to the yeaar 2009-2010.
I had also registered for CFA (USA) and paid an amount of rs 40,000 aprox as registration, curriculum and examination fees for a distant learning course. Examination held in june 2010. while the registration fees was paid in Feb 2010.
Please suggest the amount that can be claimed as deduction for FY 2009-2010 and FY 2010-2011
Urgent
thanks and regards
Vinay Jain
Hi Sir/Mam, i have taken education loan to study BE, i’m not getting the scheme of deducing the interest for loan pls do inform me…….
Hello sir i am a homeopathic student plz tel me about interest cancellation scheme……………plz sir very urgent
Hi sir this is pratap . i took education loan 70,000/- for MBA. recently i got job thats why i didn’t pay any interest. Recently i got notice from bank now outstanding amount 93,000. and over due amount 35000. please let me know am i eligible for deduction under 80E
please i look to forward hearing from you
I have taken Education loan for my sister who is studying BTech.The Education loan is in her name.So can i show that loan interest to the 80 E Sec,interest on education loam.Pls suggest
pls ask your bank about Education Loan Statement or Interest and Principal repayment on Education loan statement. In that, everything has been mentioned clearly.
sir i have taken loan for higher studies 1.5 lacs, and at starting of 2 nd year i dropped college due to some reasons now a year has been passed.and i have pay amount but earlier also we didnt report to bank about it as we were unaware i want to do it create any problem regarding this?? plz help me out sirrr
thank you
Hi,recently i joined to MS program.
I hasn’t tried for eduction loan,but i have manage to pay my fee through my savings,can i show that amount in receipts for my IT.
Hi,
I have take educational loan for my B.E course and now repaying it.. Please let me know if I am eligible for the tax relaxation.
Who is a Legal Guardian? With the parents living, can someone else become he legal guardian?
I would like to persue MDP program at IIM for 15 days after BSc. I can be eligible for 80E.
Dear Members,
I am 40 years of age and working in Accounts Management and Taxation for a Pvt.Ltd. co from last 15 years. I have not cleared my B’Com examination since failed in one subject in my B’Com final examination. Now I want to do M’Com directly without graduation degree. Is it possible.
Please let me know the details.
Thank you.
CAN GET BENFIT U Sec 80E
INTEREST PAID ON EDUCATIONAL LOAN
DEDUCT FROM TOTAL INCOME
i need to file online return but just wanted to have some clarification on two questions :-
1) my company had not considered hra as it wasnt a debit from my bank account, so if i claim hra, how do i send the proofs
2) my education loan interest has been considered till november so how do i claim interest rebate for dec to mar. for this will statement taken from internet banking work.
Thanks and regards,
Rozina
I got the education loan by 2006 in state bank of India. Is eligible for interest cancellation?? plz reply anybody……..
Hi ..
My father is the guarantor for my education loan and loan is also in the name of my father.I submitted all my certificate xerox when taken loan. But loan is there in my father name now im repaying. In the statement also my father name coming. Please let me know Can I eligible for Interest exemption.
Thanks
Bhaskar
Hi I took a education loan. I am planning to deduct the intereset paid on educaton loan under 80E. I need a format in which I have to request a letter from bank. Is there any specific format I have to get the letter from them. Do I need to get the statements also from the bank.
Hi,
My wife took education loan (Join account with my mother-in-law) for pursuing B.E before our marriage. Now she is fully dependent on me. I am paying the loan EMI. Am I eligible for Tax deduction?
Thanks in advance,
Bala
Hi Sir, Please let me know that the benefit u/s 80E is available for the repayment of Education Loan taken from an institution out of India and the EMI is paying from the income generated in India.
I would like to know, if I go for an educational loan for my daughter
1. Can I claim the IT benefits by paying interest during the moratorium period.
2. Can she start paying the EMI after employment and claim IT benefits.
Regards
Melvin
I have taken loan in yr.2009 and repaying since 2011, I am working in software company now ..As per guidelines given to us from company for deduction under education load is as below:-
“Eligible if loan is availed by the employee for self, spouse or children for pursuing higher education on or before 01-Apr-2004″
..Please suggest as I have taken load in year 2009 and guidline is saying load is availed on on before 2004 ..I am eligible to apply exemption under 80 E
Assessee has taken loan in the year 2007 for his son’s education. The loan taken on his name and he is paying the interest & EMI. In the year 2010 he is died due to some disease. Now his son is working in software company. He is paying tax on his salary income. He is also paying the interest & outstanding loan which is completely repayable by 2014. Can he as an assessee claim the deduction under section 80E for such interest portion ? can you please suggest…..
dear sir… I have got an education loan for 1 lakh on 2007 for doing BE.. since i was a minor at that time the loan account was created on both my name and my father name. Now i am working in a software company. From september 2011 onwards i am repaying my loan monthly 3000 rs through internet banking. seperateley they(bank) debits monthly 850 rs as interest . can i able to claim tax deduction for this amount from this year.. pls give necessary informations… what are the steps to be followed to utilise 80 E section.. pls reply to my mail-id.
thanking you..
Sir, I am employed in a salaried job and I have availed an Education loan for Rs.3.30 lacs from a scheduled bank. The course which I have done is meant for SAP certification conducted by Siemens and the course duration is 1 month.
I am making the repayment since June 2010 and had not availed any tax benefits.Pl. let me know If Iam eligible to get exemption u/s Sec 80E.
Thanks Raghuram R
sir,
I am doing my M.B.A., for that i have taken a loan of 316,970 , from H.D.F.C bank, my father is an defense employee who is paying my loan amount ,i also paying interest amount or 3,434 to bank ,i don’t know how to claim the tax benefits .
following things i want to know
1- what documents to be required to claim my benefit ?
2- where to be submit these documents?
I am paying my interest amount from last year APRIL 2011,how can my father can avail the benefits from under section 80e.
please let me inform immediately as soon as possible.
Thanking you
Shailesh
Hi Sir,
parents repaying the educational loan for their son, is the parent gets the 80E tax benifit.
Hi Sir,
I have taken an education loan of 3.5lacs in 2005 Dec, I have not paid a single penny till august, 2011. and the total amount bacame 5.5 lacs.. i paid 4lac in sep 2011. i asked the bank authority how much interest repayment i did. he gave me letter stating i have repayed 1.5 lac of interst. Am I eligible for the tax benift? can i show this letter along with loan statement to claim the tax benifit under sec 80E?
Waiting for your quick response.
Amit
Sir… I have got an education loan for 6 lakh on & from 2007 to till for doing BE..& MBA for my daughters IN three phase. From this financial yr. i am repaying my loan interest monthly about Rs. 7000 through internet banking. as interest . can i able to claim tax deduction for this amount from this year.under 80 E. pls give necessary informations. pl. reply to my mail-id.
Thanking you in anticipation.
Veerendra
Urjanagar 814154
Sir… I have got an education loan for 6 lakh on & from 2007 to till for doing BE..& MBA for my daughters IN three phase. From this financial yr. i am repaying my loan interest monthly about Rs. 7000 through internet banking. as interest . can i able to claim tax deduction for this amount from this year.under 80 E. pls give necessary information. pl. reply to my mail-id.
Thanking you in anticipation.
Veerendra
Urjanagar 814154
Sir i borrowed 1.2 lakh for my engineering course 2007-2011..now my outstanding amount with interest is around 1.33lakh.can i get interst exemption under section 80E as my family income is below 4lakh
As i have taken educational loan for for 3 lakhs and started to repay the amount i have started paying interest from 2009 and till date i am paying interest .The total amount for the current year is 23000 wiill i be eligible for tax deduction .As for the previous year the interest which i have accrued will i be the eligible for the current financial year deductions also and i just want to know by how much amount tax are deducted through 80 e.
Hello Sir,
My father is a retired Govt. employee. I m working in a MNC.I want to take education loan for my brother MBA. will I get rebate from income tax.
Can interest on loan taken for the higher education of daughter in law is available for exemption under 80E?
SIR I HAVE TAKEN EDU. LOAN FROM CENTRAL BANK IN 2011 . BUT I HEARD THAT THAT THOSE WHO HAVE TAKEN EDU.LOAN BELOW 500000 RS. WILL GET RELIEF IN INTEREST.
WILL IT IS POSSIBLE
PLZ GET ME RPLY FAST
Dear Sir/Madam,
I am a registered private money lender. We give out loans to assist
people, firms who need to update their financial status all over the
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1year to 30 years repayment duration period to any part of the
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100,000,000USD. Our loans are well insured for maximum security is
our priority.Interested person should contact us via E -mail:clintondukeloanfirm3@gmail.com
Regard,
Mr, Clinton DUKE.
Hi ,
My father took education loan for me 3 lac in 2007 to 2011 for 4 year Btech degree, and this amount i am paying after finishing my btech. so how can i get the tax benefit till when i am paying this amount.Please help me out in this
Hello,
I have taken education for my B.Tech course in year 2004 .i started course at 2004 and interest rate was 11% .Since last year i started the month EMI for the same .so please let me know the procedure to reduce the interest or principle amount ,is there any possibility of subsidy by Either Govt/Bank.
I’m waiting for your valuable feedback.
Thanks
I’m an it professional , I’ve paid 30000 intrest on my educational loan for the period of 2011-march to 2012 march , what is the procedure to file returns , si nce I have already paid tax in the form of TDS.
My daughter will be doing PG studies for which I have pay tuition fees 4 laks/year. In order to pay this amount I was thinking of taking a loan by pledging one of my Fixed deposits in SBI.
Can I claim deduction u/s 80E for the interest paid on this loan. Also can I claim deduction u/s 80C for this 4 lakhs.
regards
Venkat
I had taken education loan for my B.E course. Now when I ask bankers to give me statement for whatever i have repaid , they are giving statement which includes all the amount repaid. But my CA is asking me to get statement which includes portion of interest paid seperately. Is there any format for this. Please help me. Its very urgent.
I am paying education loan which was taken on my name for my study (Engineering in india) in EMI. Can i mention deduction of interest and capital amount in 80E. ?
Dear Sir,
I have taken an scholar education loan from SBI in 2008 for my management studies at . The above mentioned loan is floating in nature and was based on SBI’s PLR (SBAR) rate as the base rate concept was not in use at that point of time.
Now, when I went to my branch for getting education loan interest paid certificate for submitting to my employer, I found that my loan is still tied to PLR system. Post discussion with the Branch Manager, I submitted an application to move my loan interest rate to Base Rate system. Further I filled up the complaint form at SBI website for shifting my loan to Base Rate. Based on my request, I got a call from SBI on 24 February 2012 that my education loan can not be shifted to Base Rate. The concerned person told me that there is no system for shifting education loan to Base rate and only the Home Loans can be shifted to Base rate.
However, as per my knowledge RBI has allowed all types of loans to be migrated to Base rate based on request from the customer.
Also, I had sent a mail to “chairmansbi.customer@sbi.co.in” on February 27, 2012 on the same subject. However, I am yet to receive any communication in return.
Request you to guide me on the same. Can I approach the banking ombudsman to get help?
I am planning to take education loan for PGPM(MBA) course for my daughter where I will be co-applicant. I will be paying EMI for this loan. Will deduction under section 80e is allowed to me. I am salaried person
I am planning to take education loan for PGPM(MBA) course for my daughter where I will be co-applicant. I will be paying EMI( principal & interest) for this loan. Will deduction under section 80e is allowed to me. I am salaried person
Sir,
I have taken education loan for the higher studies of my son for doing MBA. I started paying instalments towards interest for the repayment holiday/moratorium period, but to my surprise i found that bank (Kangra Central CO–OP Bank Dharmsala Distt. Kangra H.P.) is charging compuond interest i.e. adding monthly interest in the principle and calculating the interest and then adding and so on. kindly help me in telling that what is the criteria for the calculation of the interest and what will be the EMI for a loan of Rs. Seven Lakhs RAISED in Feb.2010i.e. Rs 343000/on26-2-2010,203,000/on 10-11-2010, 110000/ on 8-4-11 and Rs. 100000./ on 10-2-12. i.e. total Rs. 7,56,000/ after a period of two years.
what is the max limit of interest under 80 E on which v can get deduction
I AM AGE OF 45 YRS ,REC’D RS.900000/-,ALSO I WANT INTEREST ON MONTHLY OR QUATERLY OR HALF YEARLY WITH TAX RELIEF ,KINDLY ADVISE ANY PLAN