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Should wife or i take benefit of 80c deductions?

ITR Filing 708 views 3 replies

Dear friends,

My wife and I have separate incomes from our respective consulting and coaching professions. However, mine is structured as a sole proprietorship.  Hers is not. 

I am told that we can claim our children's school fees paid over the last year under 80C - upto the limit of 1 lakh. 

Where I could you use guidance is on whose ITR -4 should we put this 80C entry?  We obviously cant put on on both our individual ITR-4s?  So is it better to put it on on mine (a sole proprietrship), or hers?  Or if it does not matter, then I can put on the one with the best tax benefits.

Your guidance will be invaluable here.  Thank you!

Replies (3)

See whose taxable income  from both of you is higher, acordingly that person can take the deduction u/s 80C.

Is your wife salaried person?

Hi Giridhar - thanks for your comments.  No she is not salaried. We are getting income from professional services that we offer as individuals...

Do I still go the approach you suggest? Or go where the refund is higher?  Thanks....

if you have two kids, ( tution fees allowed for max two kids only) then keep one in each account, 

if you have one, then divide as 1st half year in one file and 2nd half year in 2nd file, 

remember that 80C deduction is available on payment basis only, and not on appropriation basis.

from the gross fees paid, only tution fees is allowed under 80C, excluding sesseion / semester fees, exam fees, dress fees, library fees etc. 


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