Rebate on educational expenses for resident non citizens reduces tax where dependent children study abroad, subject to caps. A new provision grants a rebate on educational expenses to resident non citizen individuals who pay for full time education of a dependent child aged not more than twenty one at an institution outside India. The rebate is a deduction from the income tax on total income equal to the tax computed at the average rate on a notional sum linked to those expenses. Different caps apply for one dependent child and for more than one child, with monetary and proportional ceilings limiting the computed rebate.