• Rajasthan

    Cong 94
    BJP 80
    RLM 0
    OTH 25
  • Madhya Pradesh

    Cong 108
    BJP 110
    BSP 6
    OTH 6
  • Chhattisgarh

    Cong 64
    BJP 18
    JCC 8
    OTH 0
  • Telangana

    TRS-AIMIM 89
    TDP-Cong 22
    BJP 2
    OTH 6
  • Mizoram

    MNF 29
    Cong 6
    BJP 1
    OTH 4

* Total Tally Reflects Leads + Wins

Income Tax: Deduction on tuition fee allowed only if the institute is located in India

By: | Published: September 19, 2018 12:38 AM

Kumar Deduction for tuition fees paid is allowed under Section 80C only if tuition fees is paid to university, college or institution situated within India.

You are not allowed to claim deduction for tuition fees paid in the UK.

I am studying in the UK for my business purpose. Can I claim deduction for only the tuition fees under Section 80C?
—Deepak Kumar

Deduction for tuition fees paid is allowed under Section 80C only if tuition fees is paid to university, college or institution situated within India. Hence, you are not allowed to claim deduction for tuition fees paid in the UK.

My previous employer has deducted tax on leave encashment amount received. My current employer does not have a defined policy on leave accumulation and encashment yet. How can I file such exemption and get refund in tax retuns?
—Amruta

For private sector employees, exemption of leave encashment received on resignation is least of the following:
(a) Actual leave encashment amount; (b) 10 months’ average salary (basic salary, dearness allowance and commission based on fixed percentage of turnover achieved by the employee average salary drawn in past ten months immediately before retirement); (c) cash equivalent of unutilised earned leaves (leave earned cannot exceed 30 days for each year of service rendered to the employer); (d) Rs 3 lakh—the maximum amount specified by the government. You can show such exemption by adding the difference between the actual amount received as leave encashment and the amount eligible for exemption to income from salary under column ‘Allowances not exempt’ in your income tax return.

I am planning to sell my two flats and buy a bigger one. Can I reinvest the total sale proceeds in one residential house property to save LTCG under Section 54 F?
—Gautam Vinayak

Exemption under Section 54F is available if investment is made in one residential house from the proceeds of sale of any long-term capital asset (not being a residential house), when the purchase is made within two years before the date of sale or within two years after the date of sale or construction is done within three years from the date of sale. Thus, if you reinvest the sale proceeds from two properties in one residential house within two years from the date of sale or within three years from the date of sale ( in case of construction), then, you can save LTCG under Section 54.

-The writer is a partner, Ashok Maheshwary & Associates LLP. Send your queries to fepersonal finance@expressindia.com

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