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Educational Institution u/s 80C

Sujit Talukder (service) (719 Points)

14 March 2008

Tuition fees is deductible u/s 80C It covers schools/Colleges/Universities and other educational Institutions. Now I want to know whether to get the deduction, the educatioanl institution should be a recognised by AICTE or afifliated to any University. For eg. can deduction is available for tutition fees paid to "XYZ Institute of Management and Media"?

Is there any criteria to check the educational institution?

Any clarification will really helpful.

Thanks in advance.

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6 Replies

Atul Kumar (CA) (504 Points)
Replied 14 March 2008

Sec 80C provides for Deduction for Tution Fee Paid for a Full time education to any Schools/Colleges/ Universities and other educational Institutions. Hence it nowhere mentions about coaching institutions. Also coaching Institutions donot provide full time education.

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M.Sriram Shenoy (CA Final) (814 Points)
Replied 14 March 2008

There is no need to check whether the educational institution is recognised or not.

In order to claim deduction u/s.80C for fees of children paid, it is necessary that such education is full time and such fees paid represents only tuition fees.

And deduction can be claimed in respect of tuition fees paid upto a maximum of 2 children and where in case the assessee has more than 2 children, then he can claim deduction in respect of eligible expenditure of any 2 children of his choice.The main purpose of this section is to promote education.

Sujit Talukder (service) (719 Points)
Replied 14 March 2008

br>There is no need to check whether the educational institution is recognised or not
In case an educational institution is not recognised then it means tuition fees can be claimed as deduction even if it is paid to a coaching centre which issues MBA certificate at its own?
Actually I want to know whether fees paid to a Degree selling type of Institutes which are neither Affiliated to any university nor recognised by AICTE can be claimed?

O.D.SHARMA (DGM-F & A) (1734 Points)
Replied 14 March 2008

Govt.Recognised institrute/University/College only give u 80 C benafit

Sujit Talukder (service) (719 Points)
Replied 14 March 2008

Thanks for the reply and clarification. Is there any circular , notification etc or its a generally understood law?

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Prakash Popat (3134 Points)
Replied 17 March 2008

Institute may be propritorship concerns and also services provided by Individual to Individual and payment may be done on cash,the essesnce of deductions is to promote educations all barriers R secondary.