Section 80c - tution fees
This query is : Resolved
03 July 2012
Dear All,
What is the Maximum amount can be considered for deduction under 80C for tution fees?
Can it be Rs 100000 Max
What is the Maximum amount can be considered for deduction under 80C for tution fees?
Can it be Rs 100000 Max
03 July 2012
Yes you are correct. Maximum of Rs 100000/- can be claimed.
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03 July 2012
Aggregate amount of deduction u/s 80C,80CCC and 80CCD can not exceed Rs. 1 lakh.
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03 July 2012
this can't be exceed 1 lakh which is 80C, 80CC and 80 CCd deduction.
so if you are claiming 1 lakh for tuition fee then can't get any other deduction.
But a practical thing which many people get wrong is this deduction is only for tuition fee on fee receipt of school there are some funds are also included which are not deductiable
so if you are claiming 1 lakh for tuition fee then can't get any other deduction.
But a practical thing which many people get wrong is this deduction is only for tuition fee on fee receipt of school there are some funds are also included which are not deductiable
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03 July 2012
Dear all,
thanks for your answers.
Is there any limit like Rs 24000 on tution fees?
thanks for your answers.
Is there any limit like Rs 24000 on tution fees?
03 July 2012
No, there is no limit except as stated above.
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03 July 2012
Deduction u/s. 80C for tuition / school fees paid for education of children:
Who is Eligible: 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 80 C 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: Deduction for tuition Fees is available up to Rs.100000. Please Note that aggregate amount of deduction under section 80C , 80CCC and 80CCD shall not exceed Rs. 1,00,000/-
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 2012 if Paid in March 2012 will be eligible for deduction u/s. 80C in A.Y. 2012-13.
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 9/2008 & 8/2007).
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.
Who is Eligible: 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 80 C 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: Deduction for tuition Fees is available up to Rs.100000. Please Note that aggregate amount of deduction under section 80C , 80CCC and 80CCD shall not exceed Rs. 1,00,000/-
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 2012 if Paid in March 2012 will be eligible for deduction u/s. 80C in A.Y. 2012-13.
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 9/2008 & 8/2007).
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.
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