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Rebate on Education loan interest to coborrower

02 December 2019

I am coborrower of loan for foreign education studies of my son. I am paying the EMI (interest and principle amount) since beginning , how much interest paid I can claim to avail the tax rebate. My son is primary applicant.

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16 Replies

Pawan Vemula (284 Points)
Replied 02 December 2019

The deduction allowed is the total interest part of the EMI paid during the financial year. There is no limit on the maximum amount that is allowed as deduction. You, however, need to obtain a certificate from your Bank. Such certificate should segregate the principal and the interest portion of the education loan paid by you during the financial year. The total interest paid will be allowed as a deduction

1 Like

Kapadia Pravin (17249 Points)
Replied 02 December 2019

Deduction of interest under 80E is allowed to the individual who has taken the loan and if repayment is made through income chargeable to tax,"

You will require a certificate from a bank for EMI's paid during the year and break up interest portion and principal amount portion. I think bank will give such certificate in the name of primary applicant. Here there may arise trouble in getting 80E conditions satisfied.

Here the Primary applicant (student son) is borrower as far as loan is concerned.

sabyasachi mukherjee (26047 Points)
Replied 03 December 2019

Another pertinent point has been missed out is
"he has consecutively paid interest on loan for a period of 8 years ." It may be more but not less.
Other aspects like obtaining certificate from the Bank remains same.

Kapadia Pravin (17249 Points)
Replied 03 December 2019

Again bluff, Sanyasachi
Which book you are referring to ?

Where is query reply ?? 😇😇

sabyasachi mukherjee (26047 Points)
Replied 03 December 2019

Again bluff
master...
these are the conditions ..
you can consult online , offline any books.
It seems you are immatured and insensible .
Your COP has expired.

these are the conditions.

Kapadia Pravin (17249 Points)
Replied 03 December 2019

Period of deduction under 80E

The deduction for the interest on loan starts from the year in which you start repaying the loan.

It is available only for 8 years starting from the year in which you start repaying the loan or until the interest is fully repaid whichever is earlier.

This means if the complete repayment of the loan is done in 5 years only, then tax deduction will be allowed for 5 years and not 8 years.

It should also be noted that if your loan tenure exceeds 8 years, then you cannot claim a deduction for the interest paid beyond 8 years.

So it is always advisable that an education loan is paid within eight years.

----------
Sanyasachi don't post without base for fun. Don't allege baseless.
Look into your reply ! it's bluff, childish.
May be age factor for your reaction and losing of senses.

sabyasachi mukherjee (26047 Points)
Replied 03 December 2019

Obviously if the loan is taken for 5 years then since you are paying int. on loan for 5 years .
deduction cannot be availed.

@
kapu
no one is alleging and no one posts for fun .
you hv not mentioned the tenure.
don't be a kid.
you are behaving like a kid.

Kapadia Pravin (17249 Points)
Replied 03 December 2019

Sanya stop posting bakwas and acting
Is this a KG class ! Better stay off.
Re-read 2-3 times your post... ...
Apart, where is query reply !!!!! 😇😇

sabyasachi mukherjee (26047 Points)
Replied 03 December 2019

Better stay off
You seem to hv not gone to school. Go to a prep school.
don't bark ..

what is your query.?
selecting COP DOES not solve your problem.

Kapadia Pravin (17249 Points)
Replied 03 December 2019

Reaction issue !!!
First reply query , refer online offline
Post only if can own and justify.
Errors are excused. Accept or Regret it.
No, then OMG .... Take positively. No ill will.

sabyasachi mukherjee (26047 Points)
Replied 03 December 2019

@ mendki sec 80E
the following points needs to be asserted:
eight years of deduction allowed.
less than 8years depending on the LOAN AMOUNT EMI TENURE.

@ kapu
cop is outdated.
consult a doctor.
go to ranchi.
I hv one at kolkata.

Kapadia Pravin (17249 Points)
Replied 04 December 2019

Sanya g8 one mistake humbly accepted .

Try little more. Read word by word query of
Mr. Mendki,
What is his query ?
Stretch little more to understand it.
Read last line of query twice.

And then compare
a) What you replied and
b) what is query for ?

After that you will surely laugh at your reply post .

You have not yet replied query at all .
Reply fast or say Quit.

So far it's all what you call in Bengali ................(bluff reply) .

Happy to know your side business activity going to Ranchi, Kolkata periodically to a Doctor.

Nothing wrong. Best wishes for your this honorary work.

Bye. Reply query post only when can own and justify. Take care .

sabyasachi mukherjee (26047 Points)
Replied 04 December 2019

Accept your mistake.
if there is ambiguous query you hv to arrange for it..
y

murlidhar mendki (3 Points)
Replied 04 December 2019

Thanks for the reply. I understood there is no upper limit for the interest amount paid and term is for 8 years. But the basic query remains the same. As a co-borrower since beginning I am paying the EMI, am I eligible to avail the income tax rebate. Bank has provided the certificate with interest and principle amount paid by me.