Higher education loan interest deduction available only to individuals, on actual payment, for a limited tax period. Deduction for interest on a loan taken for higher education is available only to an individual, not to HUFs, firms, LLPs, companies, trusts, or AOPs. The deduction applies only to the interest component, on actual payment, where the loan is taken from a financial institution or approved charitable institution for higher education of the assessee or a relative, and repayment is made out of income chargeable to tax. It is allowable for the initial tax year and seven succeeding tax years, or until interest is fully paid, whichever is earlier.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Higher education loan interest deduction available only to individuals, on actual payment, for a limited tax period.
Deduction for interest on a loan taken for higher education is available only to an individual, not to HUFs, firms, LLPs, companies, trusts, or AOPs. The deduction applies only to the interest component, on actual payment, where the loan is taken from a financial institution or approved charitable institution for higher education of the assessee or a relative, and repayment is made out of income chargeable to tax. It is allowable for the initial tax year and seven succeeding tax years, or until interest is fully paid, whichever is earlier.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 
Join Channel
TaxTMI 
