I have taken an education loan in May 2018 for my higher education. I have started the repayment of the loan in May 2020. During those two years, my interest generated was around INR 1,75,000. By the end of Feb 2021, I have paid all accrued interest as well as interest generated from May 2020 to Feb 2021 (Which is around INR 75,000). Now my question is under section 80E of the income tax act, can I avail a deduction of INR 2,50,000 (INR 1,75,000 + INR 75,000 ) ? or I can avail of tax deduction of interest generated during FY20-21 only i.e. INR 75,000 approx.
CAclubindia
