TMI BlogDeduction in respect of interest on loan taken for higher educationX X X X Extracts X X X X X X X X Extracts X X X X ..... tion specified in sub-section (1) shall be allowed in computing the total income in respect of the initial assess ment 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 earli er. (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 3 [ 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 R ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ount paid by him in the previous year, out of his income chargeable to tax, by way of repayment of loan, taken by him from any financial institution or any approved charitable institution for the purpose of pursu ing his higher education, or interest on such loan : Provided that the amount which may be so deducted shall not exceed forty thousand rupees. (2) The deduction specified in sub-section (1) shall be allowed in computing the total income in respect of the initial assess ment year and seven assessment years immediately succeeding the initial assessment year or until the loan referred to in sub-section (1) together with interest thereon is paid by the asses see in full, whichever is earlier. (3) For the purposes of this secti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... w.e.f. 1-4-1965. 2. The italicised words shall be inserted by the Finance Act, 2007, w.e.f. 1-4-2008. 3. Words approved by the prescribed authority shall be substituted for notified by the Central Government by the Finance Act, 2007, w.e.f. 1-4-2008. 4. Substituted vide Finance (No. 2) Act, 2009, w.e.f. 1-4-2010, before it was Inserted by Finance Act, 2007, w.e.f. 1.4.2008 as, ( e) relative , in relation to an individual, means the spouse and children of that individual. 5. Substituted vide Finance (No. 2) Act, 2009, w.e.f. 1-4-2010, before it was read as, ( c ) higher education means full-time studies for any graduate or post-graduate course in engineering, medicine, man agement or for post-graduate cours ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
