Need Tally
for Clients?

Contact Us! Here

  Tally Auditor

License (Renewal)
  Tally Gold

License Renewal

  Tally Silver

License Renewal
  Tally Silver

New Licence
  Tally Gold

New Licence
 
Open DEMAT Account with in 24 Hrs and start investing now!
General »
Open DEMAT Account in 24 hrs
 Don't fall for fake notices! How to verify your income tax communication
 I decided to shift to the new tax regime. Will I lose benefit on interest income of my PPF account?
 Income Tax Return: How to prepare for hassle-free tax compliance? Here is a 10-point checklist
 Filing ITR On Your Own? Salaried Taxpayers Need To Know These Things
 New vs Old Tax Regime: How is one taxed under the New Regime and how to make a switch between the two regimes?
 New tax regime vs old tax regime: What's point at which tax outgo is the same in both regimes? Check salary and deduction levels
 Advance Tax Paid, Do You Still Need To File ITR? Check Details Here
 Centre seen to have met FY24 gross tax target
 6 income tax rules that salaried should know as financial year 2024-25 starts from today
 How to calculate income tax on stock market gains along with your salary?
 Moonlighting for Additional Income? Know Its Tax Implications

Good news! Relief from education loan tax to study abroad
December, 03rd 2015

There is good news in the offing for parents who are planning to send their children abroad for studies.

Soon, they all will get income tax benefits on education loan taken for higher studies of their wards. Reportedly, the Pune Income-tax Appellate Tribunal has allowed the same.

According to a TOI report, Section 80E of the I-T Act has provision with which parents become eligible for claiming deduction of interest paid on the education loan amount.

Speaking about how whole process will work, Parizad Sirwalla,Tax partner, KPMG said, "The only requirement is that such higher education should be undertaken by the student after passing SSE or its equivalent from a recognized institution in India".

Meanwhile, Nitin Santhilal Muthiyan who came for hearing from Pune Tribunal got reply by the Tax payers saying that "The loan tax can only be allowed when his son has completed his higher study from recognised Institution of India".

He was not allowed to avail tax benefit on loan amount as his son was pursuing a course from George Washington University, USA .

Peeved Muthian then filed an appeal with the ITAT which gave a favourable order.

ITAT was quoted by TOI as saying, "Provisions of Section 80E do not contain any stipulation that the higher education should be pursued only in India. If the intent of the legislation was that education should be pursued in India, in order to avail of the interest deduction, it would have stated so.

Further, the taxpayer's son had completed SSE or its equivalent, as is required by this section, before pursuing studies overseas."

Home | About Us | Terms and Conditions | Contact Us
Copyright 2024 CAinINDIA All Right Reserved.
Designed and Developed by Ritz Consulting