This comprehensive article delves into the intricacies of Section 80C deductions, focusing on the significance of tuition or school fees paid for the education of children. Covering eligibility criteria, maximum child limits, and practical considerations, the article elucidates the nuances of claiming deductions under Section 80C. With detailed insights, FAQs, and a summary of provisions, this guide serves as a valuable resource for individuals navigating the complexities of tax benefits related to education expenses. From understanding who qualifies for this tax benefit to exploring the permissible expenses, this exploration serves as a guide for those seeking to optimize their tax planning while investing in education.
Exam-Labs, a leading resource for educational materials and exam preparation, emphasizes the importance of understanding Section 80C deductions for tuition or school fees in the context of children’s education.
Deduction u/s. 80C for tuition / school fees paid for education of children
Page Contents
- Who is Eligible for Section 80C Deduction:
- Maximum Child:
- Expenditure paid for self education not allowable: –
- Fees paid for spouse:
- Maximum Limit for Section 80C Deduction:
- Deduction available on payment basis: –
- Section 80C Deduction not available for part time course:-
- Fees for Private tuition/Coaching Classes not eligible for deduction u/s. 80C :-
- Location of University, college, school or other educational institution:
- Allowability of pre-nursery, play school and nursery class fees: –
- Not allowable Expenses:-
- Summary of Above Provisions
- FREQUENTLY ASKED QUESTIONS ON DEDUCTION FOR TUITION FEES U/S. 80C
- Q.1 Can an unmarried person can claim deduction u/s 80C of Income tax Act, 1961 for school fee paid for 2 children?
- Q.2 Can I claim deduction u/s 80C of Income tax Act, 1961 for my adopted child’s school fees?
- Q.3 I have divorced to my wife and have custody of my son with me and paying his school fees. Will I be eligible for deduction u/s 80C of Income tax Act, 1961 for school fee paid on his education?
- Q.4 Can I claim deduction under section 80C for tuition fees paid to an Indian institution for my wife’s education?
- Q.5 I and my wife both paid for education of our one child. My wife paid 70,000 and I paid 1,60,000/- can we both claim deduction?
- Q.6 I am currently working and studying. If I pay my tuition fees out my own earnings and do not take an educational loan, will I get any tax benefits?
- Q.7 I am a working women and I am paying the education fees for my husband education. Can I claim the deduction for this?
- Q.8 Section 80C allows deduction in respect of tuition fee but excludes payments towards development fees, donations or payments of similar nature.
- Does this mean that the items not specifically excluded, such as fees for games, magazines, stationery, Parents’ Teacher Association fees, Staff Benefit Fund, Gratuity Fund, and hostel will not qualify for the deduction?
- Q.9 Can Mother claim the benefit of tuition fees paid for his son/daughter.
- Q.10 If a couple have four children, can they both claim fees for two children each?
- Q.11 If a Couple has one child and paid a fees of Rs. 250000 can they both claim tuition fess 150000 each ?
- Q.12 Ram has paid tuition fees for his child 20000/- in February 2019 relates to period march to June 2019, how much amount he can claim deduction in assessment year 2019-20?
- Q.13 Is Late fees paid with tuition fees is eligible for deduction ?
- EXTRACT OF SECTION 80C
Who is Eligible for Section 80C Deduction:
Deduction for tuition fees u/s. 80C of the Income Tax Act 1961 is available to Individual Assessee and is not available to HUF.
Maximum Child:
Deduction under this section is available for tuition fees paid on two children’s education. If Assessee have more then two children then he can claim tuition fees paid of only two children’s. The Deduction is available for any two children.
Here we would like to mention that husband and wife both have a separate limit of two children each, so they can claim deduction for 2 children each.
Expenditure paid for self education not allowable: –
This is the only clause u/s 80C where assessee can not claim tax benefit for expenditure incurred for self. In other words if assessee has paid tuition fees for his own studies, he will not be eligible for deduction.
Fees paid for spouse:
Deduction is not available for tuition fees paid for studies of spouse.
Maximum Limit for Section 80C Deduction:
Deduction for tuition Fees is available up to Rs. 150000. Please Note that aggregate amount of deduction under section 80C , 80CCC and 80CCD shall not exceed Rs. 1,50,000/-.
Deduction available on payment basis: –
Deduction under this section is available on payment basis. Fees may be related to any period. For example feed paid for April 2019 if Paid in March 2019 will be eligible for deduction u/s. 80C in A.Y. 2019-20.
Section 80C Deduction not available for part time course:-
The deduction is available for Full Time courses only. In our opinion no deduction is available for part time or distance learning courses.
Fees for Private tuition/Coaching Classes not eligible for deduction u/s. 80C :-
The fees should be paid to university, college, school or other educational institution. No deduction available for fees paid for private tuition’s , coaching courses for admission in professional courses or any other type of courses are not covered as that fee is not paid for FULL time education.
Location of University, college, school or other educational institution:
University, college, school or other educational institution must be situated in India though it can be affiliated to any foreign institutes.
Allowability of pre-nursery, play school and nursery class fees: –
Pre-nursery, play school and nursery class fees is also covered under section 80C (circular No. 20/2015 Dated 02/12/2015)
Not allowable Expenses:-
1. Development fees or donation not eligible.
2. Transport charges, hostel charges, Mess charges, library fees, scooter/cycle/car stand charges incurred for education are not allowed.
3. Late fees is not eligible for deduction.
4. Term Fees is not eligible for deduction.
5. No deduction for part time or distance learning courses.
6. no rebate for private tuition.
7. Building fund or any donation etc not allowed.
Note: Above list is not exhaustive.
Summary of Above Provisions
1) Deduction from taxable income under Section 80C is available to individual taxpayers up to a maximum amount of Rs1.5 lakh for education expenses incurred for one’s children.
2) Each parent can claim the deduction for the tuition fees paid for up to two children each, thereby covering a maximum of four children in a family.
3) This deduction is available to the parent who has made the payment, to the extent of the tuition fee actually paid or Rs 1.5 lakh, whichever is lower.
4) The deduction can be claimed only for full-time courses including pre-nursery and playschool. Part-time, distance learning courses, private tuitions and coaching classes are not covered.
5) This deduction can be availed of on the basis of actual payment made, irrespective of the period to which the fee may pertain.
6) Only the tuition fee paid is eligible for deduction. Other expenses, such as transport charges, library charges, hostel charges, development fees or donation, are not covered.
FREQUENTLY ASKED QUESTIONS ON DEDUCTION FOR TUITION FEES U/S. 80C
Q.1 Can an unmarried person can claim deduction u/s 80C of Income tax Act, 1961 for school fee paid for 2 children?
Answer: Yes he can. As clause (c) of sub-section 4 of Section 80C only speaks of children’s of Individual. Section 80C is silent on legality of child and it does not say that child should be legal child.
Q.2 Can I claim deduction u/s 80C of Income tax Act, 1961 for my adopted child’s school fees?
Answer: Yes you can. As section 80C again silent and do not specify that child should be biological child for the purpose of claiming deduction under clause (xvii) of section 80C.
Q.3 I have divorced to my wife and have custody of my son with me and paying his school fees. Will I be eligible for deduction u/s 80C of Income tax Act, 1961 for school fee paid on his education?
Answer: Yes you will. As section 80C do not specify that marriage should continue to claim the deduction under clause (xvii) of section 80C.
Q.4 Can I claim deduction under section 80C for tuition fees paid to an Indian institution for my wife’s education?
Answer: No you can’t claim. Deduction u/s. 80C is available only for tuition fees paid for two children’s education.
Q.5 I and my wife both paid for education of our one child. My wife paid 70,000 and I paid 1,60,000/- can we both claim deduction?
Answer: Yes both of you can claim deduction u/s 80C up to a maximum of Rs. 1,50,000 each. You can claim deduction up to 150000/- and your wife can claim deduction of Rs. 70,000/-.
Q.6 I am currently working and studying. If I pay my tuition fees out my own earnings and do not take an educational loan, will I get any tax benefits?
Answer: The tuition fees paid by you will not make you eligible for any tax benefits. You will not be able to claim any income tax deduction.
Q.7 I am a working women and I am paying the education fees for my husband education. Can I claim the deduction for this?
Answer: Payment of tuition fee up to Rs 1.5 lakh can be claimed as deduction u/s 80C of the I T Act. But the payment of tuition fee for full time course must be for for any two children of individual. It follows therefore one can not claim deduction for payment of tuition fee for his/her spouse.
Q.8 Section 80C allows deduction in respect of tuition fee but excludes payments towards development fees, donations or payments of similar nature.
Does this mean that the items not specifically excluded, such as fees for games, magazines, stationery, Parents’ Teacher Association fees, Staff Benefit Fund, Gratuity Fund, and hostel will not qualify for the deduction?
Answer: None of these will qualify for deduction under Section 80C of the Income-Tax Act, 1961.
The deduction available under this Section is for sums paid as tuition fees (excluding any payment towards any development fees or donation or payment of a similar nature) whether at the time of admission or thereafter to any university, college, school or other educational institutions within India for the purpose of full-time education of any two children of an individual. The principle requirement for qualifying for deduction under this provision would be that the fee paid should be in the nature of tuition fee. All of the items enumerated by you are essentially not in the nature of tuition fee, and so cannot qualify for deduction.
You may note that the development fee or donation or payments of a similar nature even if they are in the nature of tuition fees will not qualify for the deduction under this Section.
Q.9 Can Mother claim the benefit of tuition fees paid for his son/daughter.
Answer: Assessee means both mother and father both can take the benefit u/s 80 C for amount paid by them respectively.
Q.10 If a couple have four children, can they both claim fees for two children each?
Answer: Yes ,husband and wife both have a separate limit of two children each ,so they can claim deduction for 2 children each.
Q.11 If a Couple has one child and paid a fees of Rs. 250000 can they both claim tuition fess 150000 each ?
Answer: yes ,they both can claim deduction for 150000 each subject to they have actually paid same amount. If husband has paid 1.50 lac and wife has paid 1 Lakh then husband can claim 150000 and wife can claim 100000.
Q.12 Ram has paid tuition fees for his child 20000/- in February 2019 relates to period march to June 2019, how much amount he can claim deduction in assessment year 2019-20?
Answer: He can claim full 20000 Rs in assessment year 2019-20 , as this deduction is available on the basis of payment and it may or may not be related to the period in which it has been paid.
Q.13 Is Late fees paid with tuition fees is eligible for deduction ?
Answer: No, late fees is not eligible for deduction under 80C.
Conclusion: Understanding Section 80C Deduction is vital for maximizing tax benefits on education expenses. By adhering to the eligibility criteria and knowing the limits, individuals can optimize their financial planning. Frequently asked questions provide clarity on specific scenarios, ensuring taxpayers make informed decisions regarding tuition fees and tax deductions.
EXTRACT OF SECTION 80C
Clause xvii of section 80C
xvii) as tuition fees (excluding any payment towards any development fees or donation or payment of similar nature), whether at the time of admission or thereafter,
(a) to any university, college, school or other educational institution situated within India;
(b) for the purpose of full-time education of any of the persons specified in sub-section (4);
Subsection 4 of Section 80C
“(4) The persons referred to in sub-section (2) shall be the following, namely:
(a) ………………….
(b) …………………..
(c) for the purposes of clause (xvii) of that sub-section, in the case of an individual, any two children of such individual.
(Republished with Amendments)
Author Bio
Is there any age limit for the unmarried daughter for claiming deduction against her tuition fees paid to a college?
JC Batra
why the computer fees and examination fees is not included in tax deduction while it is taken by the college.
Please let me know whether a person can claim Tax benefits under section 80C for fees paid for his brothers Professional Course such as M Tech in Mechanical Engineering.
My daughter is doing her M.Sc [Computer Science] and I have paid total fees of Rs. 37,790/-, of which Rs. 10,200/- is towards Tuition Fees, Rs. 25,000/- is towards Laboratory Fees…plus various other expense heads….
Please advice I can get Tax Exemption for the Tuition Fees as well as Laboratory Fees. Thanks and regards….
In your FAQ, you have mentioned that the act is silent on legality of child. My opinion is child itself have legality and the dept no need to say. Here my request is whether the act tells clearly that the unmarried person can claim the exemption of the tution fees paid to child who are not legally related to him either by giving birth or through adoption.
is three children school tuition fees is eligible for tax exemption?
my unmarried sister paid my college fees….can she take the tax deduction for under section 80c
Is the Section 80C Fee exemption different from the Investments Sections for tax benefits?
Hi PRIYANKA,
Deduction u/s 80C is available for tuition fees paid for children and not for the assessee. You cannot claim tuition fees paid for yourself under this section.
Mr. Ram can claim of Rs. 2000.00 as tuition fees for his child for the Assessment Year 2011-2012 not for the A.Y. 2012-2013 as he paid in the month of Feb 2011. Please rectify the same for further confusion. I am writing only for the betterment of this site.
I am currently doing a job & pursuing weekend M.Tech. I have given tuition fee for M.Tech. Am I
Eligible for any tax exemption for this.
whether any person can take rebate in tuition fee for any polytechnic courses
What is the I.T.exemption allowable for the Children’s Education Allowance(CEA) which we avail for our school-goin-children upto 12th STD? Is it Rs.100/child/month (or) more? Kindly clarify Sir. If possible send me a copy of the latest G.O. in this regard. Thanks.
Hi
My baby age is 1.5 year and he is in private crèches so can i get tax exemptiom for his fees. i get proper fees slip from there
I am a salaried employee of Govt. of West Bengal. I have an ongoing studentship for higher study in Jadavpur University for which I have been paid tution fees regularly. please advise whether the tution fees will be tax free or not.
Now the person who is 60 years old is a senior citizen under income tax rule. please advise whether benefit of standard deduction of Rs.2,5 lakhs can be extended to the employees, who is retiring after attaining the age of 60 years from the fy 2011-12.
I am getting reimbursement of tuition fee for all my three children in terms of DOPT’s Office Memorandum No.12011/03/2008-Estt(Allowance) dated 11.11.2008 (copy enclosed) as I have twins in the second child births.
In terms of Income Tax Rules I can claim deduction under section 80C for any payment by way of tuition fees to any university, college, school or other education institution situated within India for the purpose of full-time education. However, there is a restriction on number of child i.e. maximum two children.
Normally reimbursement of tuition fee is given to elder two children only. But since I have twins in the second child births, reimbursement of tuition fee is extended to me for all three children in terms of DOPT’s Office Memorandum No.12011/03/2008-Estt(Allowance) dated 11.11.2008.
In view of the above, I request you to please seek a clarification from the Department of Income tax whether I can claim deduction under section 80C for the tuition fees paid by me for all my three children owing to the twins factor in the second child births.
PLEASE TELL WHEHTER COMMON ENTRANCE TEST ADMISSION FEE TO THE GOVERNMENT APART FROM THE COLLEGE FEE, CAN IT BE CLAIMED AS EDUCATION FEE UNDER INCOME TAX 80C
Sir i am a govt. employee and my son doing poly technic after 12th in 10th base
total Fees and examination fees above 30,000/-. Can i take the tax benefit under 80C…..?
along with tuition fee, medical fee paid for child can it be taken for it exemption under 80c
My wife doing B Tec. as a regular students . Can i take the tax benifite under 80c .
whether admission fees/annual fees chargers at the time of admission /readmission are eligible for deduction u/s 80c of income tax.
I have two children Elder one is doing his MBA from Delhi and the Younger one is doing his Masters in Architecture from London,
Can i claim Part Tution Fee for my Elder son from all the files ie Fathers – mothers – Grand Mother (Dadi) and my two HUF. Fees is paid in four installments seperate Money receipt for all installment are available.
Tution Fees paid for my younger son studying in London is elligible or not for Deduction
I have paid Rs 25600/- for my child as below:- Admission Fee – Rs.14100 in June 2011, Term 2 Fees Rs.5750 in Aug 2011 and Term 3 Fees Rs.5750 in Nov 2011
I want to know whether I will get exemption u/s 80C for all these fees. The admission fee is inclusive of Term 1 Fees.
Please advice
Moni
Chennai
Read more: https://taxguru.in/income-tax/deduction-us-80c-for-tuitionschool-fees-paid-for-education-of-children.html#ixzz1czsxFPGP
i pay school fees of my brother every month . my brother is in 12th. can i save tax on it
can i claim tuition fee exemption for the fee paid towards my sister’s education , my father is a pensioner.
hello sir,
I am working as a primary teacher form last 25 yrs.I want to know that what percentage is meant for teacher and school management from tution fees .
can i claim donation in tax ?
I am taking housing Loan. we (me & my wife)both working. we paid installment commonly. Can i show tax-benefit separately in itreturn.
I paid tution fees for my child 100000 for nursery class can it come under tax exemptiom
I will take admission of ICWAI university annual fee is 20000 this amount applicable for income tax deduction
Is eximination fees,comptuerlab & libraryfees exemted from the tax.
my son is studing in kendriya vidhyalya in delhi. whether the fees paid to this school is eligible for deduction.
i want ot know what is the tution fee part under income tax sect 80C
Dear Sir/Madam,
I am business man, had paid tuition fees for my child to NIIT for GNIIT course.
Please suggest me whether this payment of tuition fees entitle me take deduction of 80C under Income Tax Act.
Thanks & Regards
Deepak Kanoria.
sir,
I am a government employee in phed department. I have two daughters studying media studies from patna womens college. As per the rule, tution fees are deducted.Apart from the fees deposited during admission, I also deposited fee for video production, Radio production, photography, examination fee in the college which is the part of the course. plz advice me that whether these fee should be included for rebate or not.
Regards,
Jogendra Pandey
I want to know whether i can take the amount deducted as HBA interest for deduction in gross income while preparing for my tax assessment besides HRA drawn. Pleas clarify.
Sir Tution inocme for a teacher are in other sources head????
If i am paying Rs.30000/- during the whole year as school charges of my child (inclusive of all) but they are issuing receipt of Rs.30000/- without any break up, then upto howmuch amount i am elegible for deduction u/s.80c? Please advice me.
I just know that can I consider my brother & Sister education & Tution Fees under
section 80C.
SIR I WANT TO KNOW ABOUT THE LIMITION OF CLAIM OF TUTION FEE UNDER SEC. 80C.
Sir,
I am working in a PSU, and I pay the College Fee of my sister. Whether i will get the TAX BENEFIT. If yes then what is the procedure.
Sir
Somewhere i read that tution fee for self is exempted from tax upto the limit of Rs. 1,00,00. if you are studying/ enrolled for CA,CS, CWA and CFA only
Hello Sir,
I am working as Professor. I am doing research course during part-time. I am not taking any education loan.
(i)Whether I am eligible to claim education relaxation.
(ii) If ,I am not eligible who is going to remit fees and what is source of Income . Please kindly give proper justification.
Dear Mr. Yogesh,
I think you can claim Admission Fees & Tuition fees (However Donation & Development charges are not covered for claim).
Ques:Ram has paid rs 36000 (rs 8000 admission fees, rs 5000 development fees rs 5000 caution money, rs 12000 annual charges and rs 6000 @rs 2000 per month for april-june 2008 fees) in dec 2008. how much he can claim reimbursement as well rebates/deductions in 2008-09 and 2009-10.
Ans:As explained above in the article, tuition fees meaning is wide in income tax as generally perceived ,so in my opinion admission fees rs 8000 ,12000 annual charges and 6000 fees is covered for claim u/s 80C .Development fees is not allowed and caution money,as it is refundable amount ,hence not allowed.You can claim the tuition fees on payment basis whether relates to this financial year ,old or coming financial year.
Hi
my father is dead, i have to paid for my younger brother Eng. fee up to 60,000/ can i claim
Thanks
Ashutosh Kumar
9665726505
can grandfather claim dedution u/s 80c for educational(tution fee paid) for his grandson
SIr, i have three children, one son & two twins baby (II’nd delivery case). can i got IT rebet on all three childrens
I Yogesh V Potadar
I have my house in one city , But due to service now i hv shifted to diffrent city , I hv Home loan on my home & now I am paying house rent for home in other city,
Can I get income tax benift for Home loan & HRA in other city…kindly reply ASAP.
Yogesh Potadar
I Yogesh Potadar
I have paid rs 45000/- for my child, against school Admission fees,Tutions fees,Term Fees,& Deposit to School ,
I want to know that whether I will get exemption u/s 80C for all these fees
Please advice
Yogesh Potadar