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Children's Education 80-C

VS Vedhagiri (Chartered Account) (96 Points)

08 January 2008

Dear Colleques

Please let me know how much we can claim for children's education under section 80-C. Should the child be a dependent?

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33 Replies

Amit Sharma (article) (2677 Points)
Replied 08 January 2008

These are the points:-

(1) A max of Rs 100 p.m. with a max of 2 children.

(2) If child stays in hostel a Max of Rs 300 p.m. with a max of 2 children

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CA Parvin Ahuja (Chartered Accountant) (408 Points)
Replied 08 January 2008

We can claim any amount for children education subject to limit of two children but within overall limit under section 80C of One Lac. Act does not specify if the child should be dependent.

CA Parvin Ahuja (Chartered Accountant) (408 Points)
Replied 08 January 2008

We can claim any amount for children education subject to limit of two children but within overall limit under section 80C of One Lac. Act does not specify if the child should be dependent.

VS Vedhagiri (Chartered Account) (96 Points)
Replied 08 January 2008

Is it not Rs 1,000/- per child per month?

Amit Sharma (article) (2677 Points)
Replied 08 January 2008

I am not too sure of what Mr. Parvin Ahuja said,

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CA. Amit Daga (Finance Controller CA. CS. CFA. CIFRS. M.COM. ) (9017 Points)
Replied 08 January 2008

Yar amit you got a confusion you are talking abt the allowances Under section 10(14)(ii) read with Rule 2BB(2), children's education allowance qualifies for an exemption of Rs 100 per month per child subject to a maximum of two children and any allowance granted to meet the hostel expenditure of the employees children qualifies for an exemption of Rs 300 per month per child subject to a maximum of two children. Acc to Sec 80 C (xvii) as tuition fees (excluding any payment towards any development fees or donation or payment of similar nature), whether at the time of admission or thereafter,— (a) to any university, college, school or other educational institution situated within India; (b) for the purpose of full-time education of any two children of such individual. (but that should be with in 1 lacs ) So Mr. Vedhagiri you can take a exemption u/s 80C as per provision and income tax does not say any thing abt wheather children is dependent or independent but if you will be read the provision than they are assuming that children is dependent Amit hope i also cleared your confusion

CA Anil Jain (Chartered Accountant) (696 Points)
Replied 08 January 2008

Mr.Amit You are talking abt Fixed Allowance Exemption u/s 10(14).this is given by employer. Whereas Mr. Parvin Ahuja is right in their view u/s 80C education fees paid to Full time institution is exempt no limit but should be within the overall limit u/s 80c i.e. rs.10000/-

Amit Sharma (article) (2677 Points)
Replied 09 January 2008

right sirji, thank u

CA. Amit Daga (Finance Controller CA. CS. CFA. CIFRS. M.COM. ) (9017 Points)
Replied 18 January 2008

Aniljee if you read my provision carefully than you find it i am rite but still if you feel ... Please clear me i am highly thankful to you ...and as much as my concerned i told him abt both the situtation...waise howz ur study is going on all the best

SUSHAMA (TAX CONSULTANT) (162 Points)
Replied 20 January 2008

dear sir(Mr. Amit Daga) I have a question in my mind . will u pl clearify the same? whether payment of tuition fee to private classes will qualify for the exemption u/s 80C.

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CA. Amit Daga (Finance Controller CA. CS. CFA. CIFRS. M.COM. ) (9017 Points)
Replied 20 January 2008

sushmajee firstly i would like to say i am not any sir and all ..mai aaplogo se chota he hoo...aur rahi bat aapke clarification ki

If you read provision carefully you find it that provisions says deduction is allowed only if we make the payment to any university,school,college or education institute which is situated in india and private classes are not covered in this situation.So,we if we make the payment for private classes that is not qualify for exempton u/s 80C as well as sec 10(14)

Thanks & Regards
Amit Daga

SUSHAMA (TAX CONSULTANT) (162 Points)
Replied 21 January 2008

thanx very much. Mr.Amit Daga

girish mangla (practice) (206 Points)
Replied 21 January 2008

childern education allowance u/s 80c is exempt upto Rs.100 p.m.per child upto 2 childs. it is also specified that if there is multiple birth in case of first child then exemption is available only for those childs whereas if second birth is multiple then exemption is available to both multiple childs and for first child i.e. for 3 childs.
this is also similar in case of hostel expenditure. in this case exemption is Rs. 300 p. m. per child upto 2 child

girish mangla (practice) (206 Points)
Replied 21 January 2008

If you are not getting childern education allownce or hostel expenditure allowance, you can claim exemptiom of tution fees u\s80c. A person can claim expemption of monthly tution fees of his childern u/s 80c.