Deduction for Education Loan

Deduction for Education Loan

An education loan deduction is a tax benefit available on the interest paid towards loans taken for higher education. It does not apply to the principal amount of the loan.

Things to keep in Mind

  • You can claim this deduction for up to 8 years, starting from the year you begin repaying the interest.
  • The loan must be taken for the higher education of yourself, your spouse, children, or a student for whom you are a legal guardian.

Steps to Claim Deduction 

  1. Navigate to File > Deductions
  2. Select Section 80E card Select Section 80E card
  3. Enter the interest amount paid during the year and click on Save. Enter the interest paid during the year

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