14 May 2011
U/s 80 E in the point no 9 of form 16 Deductions under Chapter VI-A ----------------------------------------- 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.
Loan borrower -------------- First and foremost it should be noted that tax 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. The tax benefit is only valid for the person who has taken loan for his own education. So given that the education loan is in your name and you have started repaying it, tax benefits can be availed.
15 May 2011
DEDUCTION UNDER SECTION 80E IS AVAILABLE FOR THE AMOUNT OF INTEREST PAID PLEASE NOTE THAT NOW ONE CAN GET DEDUCTION IN RESPECT OF INTEREST ON LOAN TAKEN FOR HIGHER EDUCATION OF RELATIVE ALSO IF THE RELATIVE IS HIS SPOUSE, CHILDREN OR STUDENT FOR WHOM THE BORROWER IS THE LEGAL GUARDIAN
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