Deduction u/s 80c: education fees paid by spouse.

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

13 August 2013 When of my client dilipbhai has passed a JV of School Fees Rs.80000/- paid by his spouse by Cheque from her own Account and wants to claim deduction in his return. I would like to know whether the assessee can claim deduction. Also I believe that it would amount to violation of section 269SS,so kindly let me know if there is any judgement providing immunity against section 269SS

CA UMESH DULAL

CA UMESH DULAL (Expert)
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13 August 2013 Since the amount is paid by wife's account, wife can claim the deduction.

as far as 269SS is concern, since there is no loan transaction between husband and wife, section 269SS does not come into play

If there is exchange cash between husband and wife, show it as gift from wife as gift of cash needn't get registered.

Querist : Anonymous

Querist : Anonymous (Querist)

13 August 2013 Thank you Umeshsir for your valuable suggestion. My query is whether my client can claim deduction from his own income by way of passing and Journal Entry in his books and treat fees paid by wife ans loan from wife and the fees paid as paid by him although the cheque is given by wife? By passing the Journal Entry the amount will be treated as loan and the amount involved is more than 20000/- which will attract section 269SS.Kindly guide me

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CA UMESH DULAL

CA UMESH DULAL (Expert)
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13 August 2013 you can not claim by passing it as JE