EDUCATIONAL LOAN IS TAKEN IN THE JOINT NAMES OF FATHER AND SON AND FATHER HAS STARTED CLAIMING INTEREST AMOUNT U/S 80 E FROM JAN 2015. SON GOT APPOINTMENT IN PSU AND WOULD LIKE TO AVAIL ENTIRE INTEREST AMOUNT U/S 80 E FROM FY 2015-16. CAN WE CONSIDER THE SAME. IF IT IS ALLOWBLE, WHAT TYPE OF PROOFS DO WE NEED TO OBTAIN. PLEASE POST YOUR VALUABLE OPINION.
80 e
Replies (3)
In the above case deduction is allowed only if such deduction was disallowed in the hand of his father otherwise it will not allowed as it has been taken already
I think it can be availed, as such none of the conditions seems to have been violated. As such there is no specific provision which contemplates that once the deduction is allowed to the assessee then the same shall be allowed only to him.
Relevant extract
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.
yes, deduction is allowed. Either the father or the sun can avail such deduction. but for the safe side try to make payment from sun's account so that it becomes an evident for claiming deduction in hands of sun. Mr. Z is correct
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