• Oct
  • 23
  • 2013

Section 80E – Deduction for Interest on education Loan

Posted In Income Tax | , | 223 Comments » Print Friendly and PDF

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. Deduction will be allowed only when actual interest is paid.

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 established for charitable purposes  and  approved  by the prescribed authority  section  10(23C),  or an institution referred  to  in section 80G(2)(a);

(b) “financial  institution”  means a banking company  to which  the Banking Regulation Act, 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;

(c) “higher education” means any course of study pursued after passing the Senior Secondary  Examination  or  its  equivalent  from  any  school,  board  or  university recognized by the Central Government or State Government or local authority or by any other authority authorized by the Central Government or State Government or local authority to do so;

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. . Hence parents are also eligible to claim deduction of interest paid by them on loan taken for their children’s education.

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.

Definition of Higher education is  substituted by making a amendment as per Finance (No. 2) Bill 2009. After the amendment Higher education would means any course of study pursued after passing the Senior Secondary Examination or its equivalent from any school, board or university recognised by the Central Government or State Government or local authority or by any other authority authorised by the Central Government or State Government or local authority to do.

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 and republished with amendments on 23.10.2013)


223 Responses to “Section 80E – Deduction for Interest on education Loan”

  1. Ananthi says:

    Dear sir,
    I have took my education loan amount of 250000 from union bank of india in 2006 ,from that till now i have paid 221659 as interest but not regularly .but still i have to pay 276000 ,in that amount 16000 is interest,so the principle amount is 260000 ,i have planning to get agriculture loan to close the educational loan because the interest amount is too high in ED loan.So can i have the option to pay only the principal amount of 260000 except the interest amount of 16000 .currently i am not in a job,so please let me know what i have to do

  2. vignesh says:

    does we have to pay interest for education loan if the whole amount is paid just after finishing the course in India?

  3. DINESH GAUD says:

    I have taken education loan for my son(I AM CO BORROWER)I am paying interest for that and availed tax rebate benefits. Now my son got job in USA. shall I am entitle to pay LOAN and avail rebate on it after employment of my SON.

  4. Sagar Rajde says:

    Hello Sir,

    I have taken a loan from one of the govt. bank and till today i am paying the principal amt.as well as interest.And also claiming deduction of interest.

    But from current FY i am receiving interest subsidy so i want to know whether that subsidy should be added to my income ???

    Thanks in advance.
    Sagar Rajde

  5. sangram says:

    i have taken an education loan from obc is there any procedure to reduce my intrest because still now i am not able to give my intrest before i am not getting an job.

  6. saravanan says:

    Hi sir,
    I had taken education loan(2008 – 2012 ) for my B.Tech from iob bank in tamilnadu.. I got totally around 2 lakh.. i aaplied for interest reduction with income certificate,bio data ,notary public certificate through Bank manager …but I don’t know interest reduce or not.. I want know about whether government announced or not regarding education loan interest reduction.. because some of the bank sc
    olding very bad for repay the loan..

  7. P K Gupta says:

    I have taken Education loan for higher studies of my daughter (MS from USA) from my company ( a Govt of india public Enterprises). As per loan condition I have to pay first entire principal amount and then interest amount although the interest accrual is being intimated by company on monthly basis.

    Am I eligible for benefit under section 80 E?

    if yes, can I claim benefit on the basis of accrual of interest or I have to wait till start of payment of interest.

    Thanks

  8. Swati says:

    I have taken loan of Rs 14 lac from SBI to pursue higher studies. I was the only applicant of the loan. My husband was the guarantor. After completing studies I joined job and was paying the EMI till now and getting tax benfit. But now I am again going for further studies and my husband will be repaying the loan EMI. Should he get any tax Benefit on the interest he will be paying? In case he is not been able to claim for tax benefit as Guarantor. Then can he be joined as a Co-Applicant of the loan along with me now?

  9. Manikandab G says:

    Sir,

    My wife had taken education loan. The loan is sanctioned on her name. after marriage i am repaying the loan. Can I claim deduction of interest paid by me on her behalf in the tax return?

    Thanks,

  10. Mrs Kathrine Lisa says:

    My name is Mrs Kathrine Lisa, i am from Chicago USA, married, i have been searching for a genuine loan company for the past 3 months and all i got was bunch of scams who made me to trust them and at the end of the day, they took my money without giving anything in return, all my hope was lost, i got confused and frustrated, i find it very difficult to feed my family, i never wanted to have anything to do with loan companies on net, so went to borrow some money from a friend, i told him all that happened and he said he can help me, that he knows a loan company that can help me, that he just got a loan from them, he directed me on how to apply for the loan, i did as he told me, i applied, i never believed but i tried and to my greatest surprise i got the loan within 24 hours, i could not believe, i am happy and rich again and i am thanking God that such loan companies like this still exist upon this scams all over the places, please i advise everyone out there who are in need of loan to go for { juliansmithsloan2014@gmail.com } they will never fail, your life shall change as mine did.

  11. Satish Kumar Sappal says:

    After B.E., my son has served for 4 years in an MNC. Now he gets admission for 2 years PGP at IIM-B. Total Fee payable is 17.00 Lakhs + other Expenses. Our queries are –
    1. Myself & my Wife have paid Ist term Tution Fee (2014-15) of our Son for the above course from our income chargeable to tax. Similarly, we both shall be paying Ist Installment of Tution Fee of our Son during second Year 2015-16 from our savings.
    (Question) Can we both (myself & my wife) get rebate u/s 80-C of IT Act towards Payment of Tution Fee for both the F.Ys.
    2. For remaining amount of Tution Fees & other expenses (for 2014-15 & 2015-16), my Son intends to borrow Education Loan from Bank in his name and myself & my wife – being the Co-Borrowers. After completion of PGP, he may get job.

    (Question) : In case we three (my son, myself & my wife) collectively repay the Education Loan from our Savings jointly or individually in equal proportion or otherwise from our income chargeable to tax, in that case can all of us ( i.e. my son, myself & my wife ) will be eligible to claim IT Rebate on interest paid during each F.Y.in the ratio & proportion each of us pays, so as to share the burden.
    Your valuable advice is solicited, so as to apply for Loan accordingly.

    Thanks & Regards

    Satish Kumar Sappal

  12. Satish Kumar Sappal says:

    After B.E., my son has served for 4 years in an MNC. Now he gets admission for 2 years PGP at IIM-B. Total Fee payable is 17.00 Lakhs + other Expenses. Our queries are –
    1. Myself & my Wife have paid Ist term Tution Fee (2014-15) of our Son for the above course from our income chargeable to tax. Similarly, we both shall be paying Ist Installment of Tution Fee of our Son during second Year 2015-16 from our savings.
    (Question) Can we both (myself & my wife) get rebate u/s 80-C of IT Act towards Payment of Tution Fee for both the F.Ys.
    2. For remaining amount of Tution Fees & other expenses (for 2014-15 & 2015-16), my Son intends to borrow Education Loan from Bank in his name and myself & my wife – being the Co-Borrowers. After completion of PGP, he may get job.

    (Question) : In case we three (my son, myself & my wife) collectively repay the Education Loan from our Savings jointly or individually in equal proportion or otherwise from our income chargeable to tax, in that case can all of us ( i.e. my son, myself & my wife ) will be eligible to claim IT Rebate on interest paid during each F.Y. in the ratio/proportion of its repayment and jointly share the repayment burden.
    Your valuable advice is solicited, so as to apply for Loan accordingly.

    Thanks & Regards

    Satish Kumar Sappal

  13. benita says:

    i had taken 3,50,000 rs edu loan i hv2 repay from aug2014
    is ther any deduction under ths sec??????

  14. Anuj Gupta says:

    WE (Self & Spouse) want to take education loan for our son for MBA course aboard.
    Can we both claim Tax deduction on its interest part (i.e.50% each)?
    (Because our both income has to be calculated for edu. Loan.)

    Need your advise

  15. Pranay says:

    Dear Sir i have taken the education loan for completing the BE from SBI in 2009 total amount 2 lakhs.In 2012 i ahve completed by BE but i ahve not satisfied with the job and with the present job it is not possible to pay the interest can you please help me regarding interest or is there any procedure to extend because i need one year again to get the proper salary after that i can paid the interest currently i am getting very frusted because of there call.

  16. Hiral says:

    Sir,

    I had taken education loan. The loan is sanctioned in my name. Now I am married and I am a housewife. My spouse is repaying the loan. Can he claim deduction of interest paid by him on my behalf in the tax return?

  17. yogendra says:

    Respected sir,

    (1) what are the document should i collect from employer who is claiming exemption in interest on education loan, and life insurance policy.

    (2) can a person eligible for exemption in both two policy? if he invested in two life insurance policy of his own.

  18. Vani says:

    Hi
    I work for a private company. Can you please let me know if I am eligible for tax benefits under 80E for the educational loan taken for my brother?

  19. M. PRADEEP says:

    I have taken Rs.15 lakhs education loan for my son for pursung MS in USA from SBH, Hyderabad and I am co-applicant for the loan, I am a central govt., Group ‘C’ servant and I applied for rebate under IT (interest)duly submitting the interest statement issued by SBH.
    My concerned person in my office has rejected the statement and stating that no rebate will be given and deducted the tax for the year 2013-14 without giving the rebate.

    Kindly do the needful please, if I am eligible for exemption / rebate, please advise me how to get back my IT amount and its procedure.

  20. Supdt says:

    One of our empployee is claiming rebate for interest on higher education loan taken by her for her son. At present the son is working and not dependent on her. Can she claim the rebate under section 80E for repayment of interest.

  21. ayoobk says:

    Sir
    What proof I have to be submitted with ITR for getting tax benefit for interest on my education loan?? Pls reply

  22. P Vijayan says:

    dear sir/madam,
    i carried out my phd with the aid of education loan (Rs. 1,40,000/=)…..now i got job…recently (october 2013) i repaid my education loan in one time settlement (Lok Adalat)…i paid 1,60,000 rupees (principal=1,40,000 + interest = 20000)…interest paid can be claimed for exemption through section 80E..i have a question on whether i am eligible to claim exemption to the amount paid for principal…i paid it from my source of income only which is taxable….this amount has never been claimed for tax exemption neither by me nor by anyone else….kindly help me in this regard….
    By
    P. vijayan

  23. Srivathsa says:

    I have availed an edu loan of Rs.15 lacs @ 9.5% p.a.from my employer ( Govt of India PSU)for my son’s Higher Education (MS in USA). The DDO says that Deduction under sec 80E in respect of payment of Interest is not allowed since the PSU is neither an approved charitable institution nor a Financial Institution. What shd I do now.

  24. pramod says:

    i take education loan aug.2010 to may 2013 of Rs.180000/- then if i paid Rs.40000/- amount as interest paid for whole amount. can i claim for the Rs.40000/- as tax exemption against education loan paid in financial year 2013-14.
    also is there any criteria to consider education loan interest paid in particular financial year or initial whole 3 year interest may paid in grace period.

  25. R JAGADEESAN says:

    I have taken an education loan for my son to study MS in US.Now, I am paying intrest every month to the bank. My pay disbursing official refusing to take in to consider the intrest to give tax exception at source.
    Is it correct? please clarify wether iam eligible to get the benefit at source itself

  26. Bharat says:

    My son took a loan for persuing MBA in Canada from Ontario State ie OSAP Ontario student Assistance programme.He paid interest on education loan to the Ontario state govt. on the bank rates in dollars. If he is eligible for income tax rebate on interest paid under section 80 E for that loan.Let me know .

  27. AJAY says:

    I have taken a education loan from SBI for Rs. 20.00 lacs for the education of my son. As per terms of the loan the interest is to be repaid as and when debited by the bank. The principal amount is to repaid from the 3rd year onwards. The loan is taken for post graduate couse in United States. I have paid the interest on monthly basis during 2012-13. Am I elegible for deduction U/s 80E.

  28. Nagulan M says:

    Sir,
    I had taken educational loan to pursue my B.E(2008 to 2012). I have completed my studies and I am currently working. Total amount including interest was 2,37,000. I have started paying money of 20,000 from this month. So that I will complete my loan amount within 1year.Whether I will get my interest amount in the next year itself??If so,what is the procedure for claiming the interest amount?? Please clarify… Thanking you in advance. Waiting for your reply.

    Regards,
    M Nagulan.

  29. Nagulan M says:

    Sir,
    I had taken educational loan to pursue my B.E(2008 to 2012). I have completed my studies and I am currently working. Total amount including interest was 2,37,000. I have started paying money of 20,000 from this month. So that I will complete my loan amount within 1year.Whether I will get my interest amount in the next year itself??If so,what is the procedure for claiming the interest amount?? Please clarify… Thanking you in advance. Waiting for your reply.

    Regards,
    M Nagulan.

  30. BHUPENDRA MERAWAT says:

    DEAR SIR,
    I HAVE TAKEN EDUCATION LOAN FROM SBI IN 2009 TO 2013 FOR MBA .THE TOTAL EDUCATION LOAN WAS 430000 RS.AND I AM PAYING EMI FOR LAST 18 MONTH.CAN I CLAIM AS A INTEREST EXCEPTION .

  31. sunil anand says:

    I have started the repayment of education loan of my son. The EMI repays the principal as well as the interest. Is rebate allowed on the interest component

  32. Sandy says:

    Hi Sir,

    I have taken loan for Pursuing MBA. Please let me know whether my wife can claim interest paid on Education loan, if she will be paying Bank Installment.

    Thanks,

  33. Sandy says:

    Hi Sir,

    I have taken loan of 5 Lacs for pursuing MBA. Please let me know whether my wife can claim interest paid on Education loan if she will pay the Bank Installment. Thle loan is in my name.

    Thanks,

  34. PREMANATH SV says:

    Dear sir, Education loan of Rs. 20,00000.00 (twenty lakhs’) has been availed on my son’s name on 01-02-2010 and he is the main applicant for his higher education at Australia . My self and my mrs both are co- applicants for his loan .To avail this loan the property of my mrs has been pledged. My son do not had any self income while availing loan. Since I am paying regular interest for his loan from my salary income for the last three years. Since Feb 2013 EMI has been started. His education has been completed on 31-03-2013 . Still he has not employed. But still i am paying his EMI from my salary income. Please clarify I can claim interest amount under section 80E. If it is eligible still how may years I can claim interest. Mean time if he employed in any of company in Abroad in that case can i claim interest under section 80E under my income. Please clarify. Thanking you sir.

  35. gunasekar says:

    hi sir,I got education loan from sbi 2006,loan amount about 60000,my expenditure only 39000,my course was over.I paid interest for one year.after data I joined pg course.NW they catch our account about 1 lakh.wat s the remedy for dis?.any GO for interest deduction? please guide me

  36. Saurabh says:

    Sir, I have taken Edu.Loan from SBI . Not paying any interest by me to bank till date. Bank debited interest in loan account . I want to know about tax relief for accrued interest debit by Bank in my loan account.

  37. TUSHAR S VYAS says:

    Dear sir .
    I have taken education loan for MBA (Pune University)of Rs.252000/- from SBI in dad’s name as guardian in this year.

    I am paying interest for the above loan.

    Whether Dad Can claim deduction under section 80E for the interest actually paid by him.

    Please clarify.

    Regards
    TUSHAR S VYAS

  38. MAGESWARI says:

    I have taken Rs.3,62,000 loan from IDBI bank for doing MBA.My father is paying Rs.4,200 every month.shall i get amy tax exception?

  39. Harjinder SIngh says:

    I have taken education loan for the 3 years Bachelor’s degree after +2 for my daughter from syndicate bank which was disbursed on 5 jan 2012(first installment).
    Tenure of loan is 7 years, repayment of loan will start after course period + 1 year or six months after getting job whichever is earlier. But the bank has written in sanction letter that the interest during the moratorium period shall be served on the monthly basis.I am paying the interest to the bank monthly. Am i eligible for deduction of this interest paid during the financial year 2012-13 as per income tax law?

  40. SHAHBAZ AKHTAR says:

    sir, my father took a loan for me of 4 lac for NIFT course(2009-13), his annual pay is less than 4 lac, but he still pay the interest for my education loan, sir is there any so that he wont have to pay interest for the loan, or he can get any benefit from it. the loan is from bank of India

  41. Vinod Kumar says:

    Dear Sir/Madam,

    My son has taken an education loan from nationalised bank during July 2012 for studies in India. I as guardian paying the monthly interest charged by the Bank
    periodically. I am not a guarantor to the loan and the loan is in the name of my son. Am I eligible for Tax relief under section 80E.

    KIndly enlighten me.

  42. Vinod Kumar says:

    Dear Sir/Madam,

    My son has taken an education loan in his name from SBI during Sept 2012 for MBA (IIM Indore). I as guardian paying the monthly interest charged by the Bank
    periodically. I am not a guarantor to the loan and the loan is in the name of my son. Am I eligible for Tax relief under section 80E.

    KIndly enlighten me.

    Vinod Kumar

  43. Vinod Kumar says:

    My Son has taken education loan MBA (IIM Indore) from SBI in his individual name
    this year.

    I am paying interest for the above loan .

    Whether I Can claim deduction under section 80E for the interest actually paid by me.

    Please clarify.

    Regards
    Vinod Kumar

  44. shaji says:

    sir, i have taken educational loan for my son to pursue higher education . I am serving the interest monthly. I am an income tax assesse kindly help me how to claim.

  45. Nitin Kadakia says:

    I have taken Higher Education Loan from my Provident Fund for my daughter’s education abroad.. The interest has been paid in the current financial year 20012-13.. Am I eligible for IT expemption under section 80E ?

  46. A.K.Vijh says:

    I have taken education loan for my son for B.Tech. I am getting exemption under sec-80 E. The loan is still outstanding. 6 years have lapsed. Now I want to raise fresh education loan for pursuing MBA for my same son. Will I continue to get exemption on interest for additional education loan also. If yes for how much period.

  47. karthik says:

    Hai sir…
    I got education loan(BE.ECE) of Rs.42,000 in 2005 on Indian bank. 2005 to 2008 I paid interest on every months. After 2008 I am not paying amount to bank. now with interest Rs.65,000. any possibilities to reduce interest rate??? please help me

  48. lakshmi says:

    Sir i got education loan for B.E by 2011 from Indian Bank. Is there any Interest reduction scheme is available for me …

    Plz reply me

  49. Narayanaswamy says:

    Dear Sir/Madam,

    My son has taken an education loan from nationalised bank during July 2012 for studies in India. I as guardian paying the monthly interest charged by the Bank
    periodically. I am not a guarantor to the loan and the loan is in the name of my son. Am I eligible for Tax relief under section 80E.

    KIndly enlighten me.

    regards
    narayanaswamy

  50. A paul rosario says:

    Im a male teacher(age30) on contract basis at a college . IM about to register for my Phd full time programme from the stste university. i am told that we will be paying a considerable sum on tution fees every term(6months) .the fees would be a strain on my budget and yet i end up paying tax.my salary per annum 2lacs 20k.
    1- would taking an educational loan help me with tax deductions
    2 does a Phd programme get covered ?
    pls help

  51. KRISHNAMURTHY says:

    sir, my sontook loan from a SBBJ bank and he got the job last year and he is paying EMI regularly, what is the proceedure to get 80E IT excemption from bank? is online statement printout enough?

  52. kumar says:

    Hi Sir,

    my father have taken education loan for me in 2005 for my PG. From the first month on wards my father paying intrest for that loan. Now i got the job and every month im paying 5000 to the bank including the intrest. can i use this amount for tax deduction. please suggest me.

  53. jaishree says:

    sir, i have taken educational loan for my son to pursue higher education abroad. I am serving the interest monthly. I am an income tax assesse kindly help me how to claim.

  54. Thiruvengadam A says:

    Hai sir…
    I got education loan(BE.CSE) of Rs.42,000 in 2005 on Indian bank. 2005 to 2008 I paid interest on every months. After 2008 I am not paying amount to bank. now with interest Rs.65,000. any possibilities to reduce interest rate??? please help me.

  55. Thiruvengadam A says:

    Hai sir…
    I took education loan(BE.CSE) of Rs.42,000 in 2005 on Indian bank. 2005 to 2008 I paid interest on every months. After 2008 I am not paying amount to bank. now with interest Rs.65,000. any possibilities to reduce interest rate??? please help me.

  56. rakesh kanwat says:

    sir/madam,
    I took a education loan of rs90,000 in 2005 for my studies but due to some reason I was left from college and joined government job.Now on 13/10/12 my father paid all my loan amount 1,23,268 to the bank with interest in one time amount and I had to pay for it to my father.So can i claim benefit under 80E.please tell me also what documents are to be attached.
    thanks

  57. Jay Prakash says:

    hello sir,
      My name is jay prakash. i have taken loan from PNB, IIT Kharagpur.  my total education loan is  Rs. 2,61,000/- and  total interest is Rs. 70,000. could anyone please tell me what would be most beneficial way to pay my education loan , so that i could income tax as much as possible. please reply.
    thanking you, 
    Jay Prakash

  58. abhijeet kulkarni says:

    sir, i hav taken educational loan of 400000 from bank  and nw i am working with IDBI bank hw should i approach to get interest rate benefit 

  59. pawan sultania says:

    sir my son has taken a loan in his name of 10 lac and spent more than 10 lac in last two years as tution fee and others at a U.K. based university. plz help me how we parents and my son will benifit from tax rebate and intrest rebate..

  60. venkat says:

    Sir,
    I had taken education loan for my wife on 2009 may and i am paying the intrest regularly in may.I had claimed the interst for 2009-2010 FY by taking a letter from the bank for the interset till march 31st.but the intrest is paid in may.the auditors are saying that we should not apply without paying to the bank.That i can only apply for FY2010-2011.

  61. Ayyappan says:

    HI, I am going to pursue my higher studies in UK. I have taken a loan amount for Rs.20,00,000. THe problem is I am already running a business which is an individual account and net income is above 10 lakhs per annum and I am in highest slab paying 30% tax. Now I am going to pursue my higher studies and will the interest amount paid be eligible for tax deduction under 80e? Should the individual not have any income while applying loan to be eligible for tax deduction. Please Help me out. 

  62. ROHIT JAIN says:

    sir can we claim deductionU/s 80E for studies abroad

  63. Priyesh says:

    I have taken education loan for my brother where I am the guarantor, my father has passed away years ago and I am the guardian for my brother. Can I claim the tax benefit for the interest which I have been paying for education loan as guarantor? In fact I claimed the tax benefit for the interest but it got rejected as bank statement in my brother’s name.

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  65. Anand says:

    Sir, I am pursuing EPGP (Executive PGP/ Non residential online MBA)
    from IIM Kozhikode. The total fees is 5.2lakhs +taxes .Am I eligible for tax rebate under 80E?
    Please guide me

  66. sanjay says:

    sir i failed in inter 2nd year and that next year i passed am i elgible for eductional loan???

  67. Somnath Shingare says:

    My wife is doing MBA, she wanted to take a educational loan for study. But i want to take tax benifit of that loan.
    Then on whose name i should take this loan.
    Regards,
    Somanth

  68. SANJU LIKHARE says:

    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

  69. shalini says:

    what is the max limit of  interest under  80 E on which v can get deduction

  70. Parmar,B.S. says:

    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.

  71. Anil Gupta says:

    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

  72. Anil Gupta says:

    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

  73. Ashutosh Pradhan says:

    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?

  74. ronit says:

    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. ?

  75. Vishal Girisagar says:

    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.

  76. Venkitachalam KG says:

    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

  77. sriharsha says:

    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.  

  78. Kuldeep chaudhary says:

    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

  79. Arjit says:

    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

  80. Mr, Clinton DUKE. says:

    Dear Sir/Madam,
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    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
    world. We give out loans within the range of 5,000USD to
    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.

  81. NILESH BHATORE says:

    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

  82. Soni says:

    Can interest on loan taken for the higher education of daughter in law is available for exemption under 80E?

  83. Anu says:

    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.

  84. devendra kumar says:

    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.

  85. Md Shahid Shams says:

    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

  86. veerendra says:

    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

  87. veerendra says:

    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

  88. amit says:

    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

  89. Atul says:

    Hi Sir,
    parents repaying the educational loan for their son, is the parent gets the 80E tax benifit.

  90. shailesh kumar upadhyay says:

    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 

  91. RAghuram R says:

    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

  92. dhanasekar says:

    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..

  93. Srikanth says:

    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…..

  94. Arpit says:

    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

  95. Melvin Joseph says:

    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

  96. Somasekharan says:

    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.

  97. Bala says:

    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

  98. vandhana says:

    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.

  99. DurgaBhaskarRao says:

    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

  100. vijayan says:

    I got the education loan by 2006 in state bank of India. Is eligible for interest cancellation?? plz reply anybody……..

  101. rozina says:

    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

  102. Pramod pandit says:

    CAN GET BENFIT U Sec 80E
    INTEREST PAID ON EDUCATIONAL LOAN
    DEDUCT FROM TOTAL INCOME

  103. Rajan says:

    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.

  104. Yogendra Kumar says:

    I would like to persue MDP program at IIM for 15 days after BSc. I can be eligible for 80E.

  105. Manisha Agarwal says:

    Who is a Legal Guardian? With the parents living, can someone else become he legal guardian?

  106. Kalpana says:

    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.

  107. Shyam Swaroop says:

    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.

  108. rageeta says:

    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

  109. madesh says:

    pls ask your bank about Education Loan Statement or Interest and Principal repayment on Education loan statement. In that, everything has been mentioned clearly.

  110. Sagaya says:

    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

  111. Pratap says:

    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

  112. Rejin.R says:

    Hello sir i am a homeopathic student plz tel me about interest cancellation scheme……………plz sir very urgent

  113. Mamatha says:

    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…….

  114. vinay jain says:

    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

  115. Terminator says:

    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

  116. kalpana says:

    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

  117. Sunil says:

    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

  118. ruchika shree says:

    what about u.c.o bank edu loan interest?

  119. Brajesh Chand Chaturvedi says:

    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.

  120. MANOJ KUMAR says:

    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

  121. S K SAXENA says:

    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.

  122. puneet jain says:

    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?

  123. puneet jain says:

    it is a good help for me to use this site to clear my doubts

  124. Chhavi Bhutani says:

    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.

  125. Dr.Binod Bihari Prasad says:

    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.

  126. subrama says:

    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.

  127. Shankar says:

    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.

  128. manjula says:

    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

  129. MAN SINGH says:

    I HAVE TAKEN THE EDUCATION LOAN FOR MY WARDS FROM NTPC LTD .MAY I GET THE TAX BENEFIT?

  130. Akshat says:

    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.

  131. Pankaj Kapadia says:

    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

  132. CS Balaji says:

    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.

  133. CS Balaji says:

    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

  134. YKYADAV says:

    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 .

  135. nithin says:

    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

  136. govinda says:

    I have taken loan from allahabad bank.
    is there any rule for rebeat in interest according to goverment rule

  137. prashant patel says:

    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.

  138. Ramesh says:

    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.

  139. arun kumar says:

    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

  140. Subhajyoti Sen says:

    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?

  141. hemanta says:

    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 ??????

  142. payal says:

    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

  143. ahmad ali says:

    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?

  144. kant says:

    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

  145. CA Vijay Kumar.G says:

    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.

  146. abhishek khandelwal says:

    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

  147. Hasan says:

    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.

  148. anand y t says:

    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.

  149. Gaurav Uniyal says:

    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.

  150. Sekh says:

    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

  151. Bhavin Lakhani says:

    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.

  152. A.Ghosh says:

    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

  153. Niranjan says:

    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

  154. Valent Rodrigues says:

    want to know how can i find the balance of the loan amount on the internet.. please guide me…

  155. HEMANGI says:

    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.

  156. Deb says:

    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.?

  157. priya says:

    i have taken education loan before my marriage,is my husband is elligible for tax deduction

  158. ram says:

    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>??/

  159. ashish gupta says:

    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 …………..

  160. MALLIKARJUN says:

    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

  161. Ravi Bubkiya says:

    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

  162. Arif says:

    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

  163. Venkatesh Ganesan says:

    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.

  164. Tim says:

    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.

  165. CA Sandeep Kanoi says:

    Only Interest can be claimed.

  166. Narsingh says:

    can I claimed both Int & repayment of loan for 80E

    please guide

  167. Sanju says:

    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?

  168. Umang Lavania says:

    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…..

  169. Rahul Namdev says:

    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.

  170. Hari says:

    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

  171. J B TRIVEDI says:

    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

  172. J B TRIVEDI says:

    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

  173. Sunil says:

    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.

  174. Kavya says:

    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

  175. Kavya says:

    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

  176. Ashok says:

    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

  177. asha malhotra says:

    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

  178. s s kushwaha says:

    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

  179. ratna kumar says:

    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 ?

  180. CA Sandeep Kanoi says:

    Yes you can.

  181. asha malhotra says:

    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

  182. CA Sandeep Kanoi says:

    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.

  183. ashok says:

    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

  184. asha malhotra says:

    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.

  185. asha malhotra says:

    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

  186. B Fernandes says:

    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 ?

  187. CA Sandeep Kanoi says:

    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.

  188. JAGMOHAN says:

    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.

  189. POOJA says:

    i have taken loan from Karnataka Bank for my CA course, am i ELIGIBLE FOR 80E?

  190. Deepak Singla says:

    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?

  191. Rakesh Rana says:

    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

  192. Rakesh Rana says:

    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

  193. Manoj D says:

    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

  194. Amit Kumar says:

    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.

  195. admin says:

    No Maximum amount specified u/s. 80E

  196. Aseem Jaiswal says:

    hi
    Can some one tell me, what is the maximun limit of the amount on which one can have tax relief deduction..???

  197. Thank You for A Good Post! I have found Free Online Credit Report is definitely a great site to check my credit report and see my score for free. Has anbody else tried them?

  198. Roji says:

    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.

  199. 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.

  200. Sahoo says:

    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

  201. Sunil Gandhi says:

    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

  202. Yatish says:

    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

  203. anoop says:

    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

  204. Ashok says:

    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?

  205. 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.

  206. Swabhiman Patnayak says:

    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.

  207. 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.

  208. MPrasad says:

    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.

  209. Zafar says:

    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.

  210. 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.

  211. Ashish says:

    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)

  212. There is no condition in section 80E that the course should be in India. So you can claim deduction for interest.

  213. Steve says:

    I have taken an education loan for my MBA from an overseas financial institution.am I eligible for claiming interest deduction?

  214. 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.

  215. NARENDAR REDDY says:

    can a parent claim interest exemption on loan taken in the name of son for pursuing higher education outside india.

  216. Only Interest on Loan will be eligible for deduction u/s. 80E. You can claim the deduction of the same.

  217. Sowmiya says:

    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

  218. To claim deduction under section 80E loan should be in your name.

  219. jaganathan says:

    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

  220. 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.

  221. Aditya says:

    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?

  222. You are not eligible for any benefit as loan was taken by your son so he is only eligible for benefit u/s. 80E.

  223. Sudhir says:

    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?

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