Income-tax Act, 1961

Deduction in respect of interest on loan taken for higher education.

80E. (1) In computing the total income of an assessee, being an individual, there shall be deducted, in accordance with and subject to the provisions of this section, any amount paid by him in the previous year, out of his income chargeable to tax, by way of interest on loan taken by him from any financial institution or any approved charitable institution for the purpose of pursuing his higher education or for the purpose of higher education of his relative.

(2) The deduction specified in sub-section (1) shall be allowed in computing the total income in respect of the initial assessment year and seven assessment years immediately succeeding the initial assessment year or until the interest referred to in sub-section (1) is paid by the assessee in full, whichever is earlier.

(3) For the purposes of this section,-

(a)	-	"approved charitable institution" means an institution specified in, or, as the case may be, an institution established for charitable purposes and approved by the prescribed authority under clause (23C) of section 10 or an institution referred to in clause (a) of sub-section (2) of section 80G;
(b)	-	"financial institution" means a banking company to which the Banking Regulation Act, 1949 (1 .... To read the full section download the app from Google Play store Latest Job Openings View all ARTICLESHIP 15 May 2026 ARTICLE ASSISTANT, TRAINEE AND PAID ASSISTANT YOGESH KAPOOR AND ASSOCIATES New Delhi B.Com View Details 24 May 2026 Accounts & Tax Executive PARAS KHURANA AND CO New Delhi B.Com View Details ARTICLESHIP 14 May 2026 CA ARTICLE PRAVEEN GARG & CO Faridabad CA Foundation View Details 19 May 2026 Accountant ca kunjan Mumbai CA Inter View Details 07 May 2026 CA Assistant amit desai and co Mumbai CA Final View Details ARTICLESHIP 23 May 2026 Article Assistants Acupro Consulting Gurgaon CA Inter View Details 19 May 2026 Fundraising Expert MentorsWorld Ventures Private Limited Ahmedabad Others View Details ARTICLESHIP 30 April 2026 Article Assistant J SINGH & ASSOCIATES Ahmedabad CA Inter View Details Share  Facebook  Twitter  Linkedin  Reddit  Email  Whatsapp  Gmail  Pocket  Print  Pinterest  PDF  Translate Whatsapp Groups GST Income Tax CA Final CA Inter CAclubindia Login at CAclubindia CAclubindia India's largest network for finance professionals User Name Password Remember Me Forgot Password ? Alternatively, you can log in using: Login with Google Don't have an account? Register Now click here to register