Hi Friends,
I want to confirm that Can an unmarried person can claim deduction u/s 80C of Income tax Act, 1961 for school fee paid for children?
18 Replies
SUNNY
(STUDENT CS)
(377 Points)
Replied 23 March 2010
HOW CAN AN UNMARRIED MAN PAY SCHOOL FEE FOR HIS CHILDERN ?
TELL ME
CA Dhiraj Ramchandani
(CA, M. com)
(10823 Points)
Replied 23 March 2010
Yaar... Even i'm now interested in knowing the answer...
But as per my view, ACT nowhere specifies that a person having children should be married.. But is there any hindu act or somewhere else its mentioned that an unmarried person is not allowed to claim such exemption>???
CA Dhiraj Ramchandani
(CA, M. com)
(10823 Points)
Replied 23 March 2010
Abey haan yaar....
If an unmarried person adopts a child legally...
like one of the past miss universe, SUSHMITA SEN did... [As, to the world she's unmarried and has adopted a daughter]
Then i think there will be no problem in claiming deduction in such cases...
sandesh
(Accountant)
(55 Points)
Replied 23 March 2010
Dear all
I want to confirm that if unmarried person adopt child or children can he claim eduction fees
also clause (c ) of subsection 4 of Section 80C only speaks of children’s of Individual. Section 80C is silent on legality of child and it does not say that child should be legal child
CA Dhiraj Ramchandani
(CA, M. com)
(10823 Points)
Replied 23 March 2010
Thats what i'm saying buddy...
Look, married person's children get the name of their parents since birth.. So there is no Q of legality overhrere..
But in case of adoption, i think legality does arise.. I mean, if an unmarried person pays expenditure of a child.., how can he prove that the child is his only?? So i think legality does matter here
Lets c wat experts reply on this
Rachit
(Analyst)
(913 Points)
Replied 23 March 2010
Sec. 80C(4)(c) clarifes this issue. It states that the deduction is available to the individual only in case tution fees is paid by him for his own children, restricted to 2-children only.
CA Dhiraj Ramchandani
(CA, M. com)
(10823 Points)
Replied 23 March 2010
| Originally posted by : Rachit | ||
 |
Sec. 80C(4)(c) clarifes this issue. It states that the deduction is available to the individual only in case tution fees is paid by him for his own children, restricted to 2-children only. |
 |
Ok, agreed that it should be tution fee that is allowed... But what if that person is unmarried??
Rachit
(Analyst)
(913 Points)
Replied 23 March 2010
Dhiraj
My view is that legally adopted child would be treated as the individual's child and tution fees paid for him would be allowable, even though the individual himself is unmarried.
Ayushraj
(Professional)
(125 Points)
Replied 23 March 2010
Section 80C allows deductions:
(1) . . . . . .
(2) The sums referred to in sub-section (1) shall be any sums paid or deposited in the previous year by the assessee
(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 of the persons specified in sub-section (4);
(4) The persons referred to in sub-section (2) shall be the following, namely:
(a) for the purposes of clauses (i), (v), (x) and (xi) of that sub-section,
(i) . . . . . ..not applicable here
(ii) . . . . . . ..not applicable here
(b) . . . . . . ..not applicable here
(c) for the purposes of clause (xvii) of that sub-section, in the case of an individual, any two children of such individual.
No where in the Act i think that this two Childrens for the purpose of this section are defined.
In absence of the same.:
I think that chidren are children. Whether born out of legitimate relationship or illlegitimate relationship, adopted or own, children remain as own children ever after divorce.
Now take a situation that in case a person adopts a child (minor) and transfers his money, property to his name. Now here certainly the ITO will club the income generated from this money and property to the income of the assessee irrespective of the fact that the child is adopted or his own.
So this deduction should be normally allowed.
The only thing is that in case of an unmarried person if the ITO quieries. The person should be able to prove that the children are his/ her own children, which should not be a as such difficult task. Now-a-days the Birth Certificate contains name of the Father and Mother both. In case of adopted child the perosn who adopts the same has got papers. He/She also normally gets the Surname of the child changed or admits them to school giving his/her name as parents, so it should not be a problem
kapil rajpoot
(C.A. Final Student)
(160 Points)
Replied 23 March 2010
no where is mention about the marital status of individual and i thing there is no case jugdment related this issue... yes deduction is available definetily.
SHUVRO
( (WANT TO LEARN) )
(175 Points)
Replied 23 March 2010
i think that the aim of the act is not to decide who is a legal child & who is illegal. The main aim is to grant a person deduction in respect of tution fees towards tution of his child.I think adoption is a noble step and the income tax law will not stand as an issue to discourage education of adopted children or adoption itself.
Sanket Damodar Karve
(Business)
(179 Points)
Replied 23 March 2010
Dear SAndesh,
There is no provision of the act that denies the deduction for adopted child. Just give a look at the wordings of the Act.
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 of the persons specified in sub-section (4);
Sec 80C (4)
The persons referred to in sub-section (2) shall be the following, namely:
(a) for the purposes of clauses (i), (v), (x) and (xi) of that sub-section,
(i) in the case of an individual, the individual, the wife or husband and any child of such individual, and
(ii) in the case of a Hindu undivided family, any member thereof;
(b) for the purposes of clause (ii) of that sub-section, in the case of an individual, the individual, the wife or husband and any child of such individual;
(c) for the purposes of clause (xvii) of that sub-section, in the case of an individual, any two children of such individual.
Regards
Sanket Damodar Karve
(Business)
(179 Points)
Replied 23 March 2010
Dear SAndesh,
There is no provision of the act that denies the deduction for adopted child. Just give a look at the wordings of the Act.
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 of the persons specified in sub-section (4);
Sec 80C (4)
The persons referred to in sub-section (2) shall be the following, namely:
(a) for the purposes of clauses (i), (v), (x) and (xi) of that sub-section,
(i) in the case of an individual, the individual, the wife or husband and any child of such individual, and
(ii) in the case of a Hindu undivided family, any member thereof;
(b) for the purposes of clause (ii) of that sub-section, in the case of an individual, the individual, the wife or husband and any child of such individual;
(c) for the purposes of clause (xvii) of that sub-section, in the case of an individual, any two children of such individual.
Regards
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