I am going to USA for my Masters, May I know interest I will pay on an education loan is that tax-free, Are there tax benefits available for repaying education loans under applicable laws?
Hello, I am studying in the USA even when I was reached here to study I had no idea about any taxes or any other benefits, There was a guy from south India who told me about that, in many countries, including India and the USA, there are tax benefits available on the interest paid on education loans.
Tax Benefits on Education Loan Interest in India Under Section 80E of the Income Tax Act You can Google it and read about it in detail.
In India, under Section 80E of the Income Tax Act, tax benefits are available for the interest paid on education loans. Here are the details:
Tax Benefits on Education Loan Interest in India (Section 80E):
What is Covered:
Eligibility:
Deduction Limit:
Time Limit:
Documents Required:
How to Claim the Deduction:
Calculate the Interest Paid:
File it While Filing Your ITR:
Example:
If your education loan interest payment is ₹1,50,000 in a year, the entire amount can be deducted from your taxable income, reducing your overall tax liability.
Advantages: