U/s 80E

This query is : Resolved

Baljinder Singh (Querist)
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15 May 2009 Dear Sir,

I wamt to know that Mr. Son Has teken loan for his higher study Rs.200000/- and father pay the interest amount of Rs.14705/- during the f.Y. 2008-09 beacuse Mr. son doing his study, he is no sorce of income.

Can, Father claim the exemption of Interest u/s 80E. Whenvere the som complete his study and doing job, then he will pay the principal amount and interesr.

Pls advise me that father can claim the benefit of tax ?

Regards,

Baljinder singh

Vipul J. Bhavsar

Vipul J. Bhavsar (Expert)
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15 May 2009 No. Father cannot claim deduction for Interest U/s 80 E.Deduction under section 80 E is allowed only to the person who has taken loan and has paid the interest out of the Income earned by him. In the given case even if the loan is taken in the name of Mr.Son , the interest is paid out of the income of his father. So as the interest is not paid from the Income from Mr. Son, No deduction allowed to Father.

As stated by you, Mr. Son can claim deduction U/s 80E after he starts earning and pays the interest out of that income.

Baljinder Singh

Baljinder Singh (Querist)
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15 May 2009 Thanks Vipul

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