JJ Tax’s Post

📚 Tax-Saving Tip: Did you know that the interest paid on education loans is eligible for deductions under Section 80E of the Income Tax Act? 🎓 . If you or your family members have taken education loans for higher studies (whether in India or abroad), here’s how it works: . Who Can Claim?: Individual taxpayers (not available for HUFs) who have taken loans for their own education, their spouse’s, children’s, or a student for whom they are a legal guardian.💡 . Loan Source: The loan must be from banks/financial institutions or approved charitable institutions (loans from friends or relatives don’t qualify). . Deduction Amount: There’s no maximum limit! You can claim the entire interest amount paid during the financial year. Plus, this deduction can be availed for a maximum of eight years from the start of repaying your education loan EMI.📊 . Remember to keep proper documentation and consult a tax advisor for personalized advice. 🔍 . #TaxTips #FinancialLiteracy #EducationLoans #TaxDeductions

Planning for my daughters Umaira & Hana My officemate has told me that his son is not eligible for scholarships and education loans. The reason is the combined salary of husband and wife is at the T20 level. Alhamdulillah, I got early awareness. So, I need to set up education planning for my daughters as soon as possible. Features education planning I am looking at are: 1. Easy to redeem 2. Time period of 15 - 18 years 3. Beat Inflation rate 4. Easy handling after I die (standby) There are a few portfolios that I need to consider: 1. TH savings, but that money is for the children to register for Hajj and go on Hajj. 2. ASB savings, I don't want to be bound by a debt commitment until my child enters university. 3. American funds, this is not a commitment. Anytime, I can stop and continue back. The return is worth it with moderate risk. 4. Saving gold, it's ok but I need to take into account the cost of the spread involved when selling anytime. 5. SSPN savings, I can get tax relief but only a normal return. No risk, right? But what if my son doesn't qualify for a loan? Hmmm *----------------- After being judged, I already choose option number 3 and number 5. Because it meets the characteristics I'm looking. Is there any other option? Please share with me..sharing is caring, right? Hafiz Zulkarnain

Education Loan Deduction! Section 80E📚💡 Are you aware of the tax benefits associated with education loans under Section 80E? Here's a comprehensive guide to help you make the most of this deduction: 🌟 What is Section 80E Education Loan Deduction? Section 80E provides a tax incentive for individuals repaying education loans for higher studies. The deduction is applicable to the interest amount paid on the loan, not the principal. 📚 Who Can Claim Education Loan Deduction? Only individuals are eligible for Section 80E deduction, and it's not available for HUF or other taxpayer types. The loan must be taken for higher education of self, spouse, children, or a student for whom the individual is a legal guardian. 💼 Where Can Education Loan Be Taken? To claim Section 80E deduction, the education loan must be obtained from banks/financial institutions or approved charitable institutions. Loans from friends or relatives are not eligible. 🎓 Purpose of Education Loan: The loan must be taken for pursuing higher studies, whether in India or abroad. Higher studies encompass all fields pursued after passing the senior secondary examination, including vocational and regular courses. 📊 Section 80E Tax Exemption Limits: There is no limit for Section 80E exemption; the entire interest amount paid can be claimed as a deduction. The deduction reduces your taxable income, providing a significant financial benefit. 💰 Deduction Under Section 80E: The deduction is applicable to the total interest part of the EMI paid during the financial year. No tax benefit is allowed for the principal repayment; only the interest component is eligible for deduction. Obtain a certificate from your bank specifying the principal and interest portions of the education loan paid during the financial year. 📈 Maximize Tax Benefits: By leveraging Section 80E, you can optimize your tax planning strategy, especially if you are repaying education loans. Ensure you keep proper documentation, including the bank certificate, to claim the deduction seamlessly. Education loan deduction under Section 80E is a valuable tool for reducing your tax liability while investing in higher education. Stay informed, maximize your benefits, and pave the way for a financially sound future! 🚀💼 #TaxSavings #EducationLoan #FinancialPlanning #TaxDeductions #Section80E #incometax #incometaxreturn #educational #CASAMEERSHAIKH #taxplanning #taxstrategies 🎓🔍

HELLO FOLKS, Let us understand education loans and how to avail of tax benefits on education loans under Section 80E. A sum of money borrowed to cover higher education-related costs is known as an education loan. Higher education includes MBA, MBBS, CA, and Ph.D. B.Tech., etc. The purpose of an education loan is to help pay for living expenses throughout a borrower’s time of study and the cost of tuition fees, admission fees, books, supplies, etc. You can only get a deduction from the interest amount, not the principal amount. You can claim only if the loan was taken for higher education purposes. This loan must be taken from recognized financial institutions (which means a banking company) and approved charitable institutions Self, spouse, children, and a person for whom the assessee is a legal guardian can claim a deduction on interest payment on an education loan. If the loan is taken from a family member a relative or an unrecognized institution, it will not be allowed as a deduction. You can claim the entire amount of interest; there is no limit. This deduction for interest on a loan starts from the year in which you start repaying the loan. You can claim a deduction for a maximum of 8 years from when you start and until you start repaying the loan or until the interest is fully repaid, whichever is earlier. For example, if you complete the repayment of the loan within 6 years, then tax deductions will also be allowed for 6 years only. This tax benefit is available under the old tax regime only, not under the new tax regime. #educationloan #highereducation #studyloan #personalloan #studentloans #overseaseducationloan  #educationconsultant #educationmatters #taxation #tax #taxes #accounting #incometax  #taxplanning #taxreturn #taxtips #taxconsultant #taxpreparation  #taxhelp  

Supporting Dreams: School Fee funding for Your Child's Bright Future✨️ Is your child gearing up for a new school term? Let us be your lending hand in making those dreams a reality Jump start with our efficient school Fee funding options For;✨️ 🔸️ For Government Employees - Checkoff Loans with a repayment period of upto 144 months. 🔸️Salary advances - Acess multiple credit facilities for salary advance eligible for all occupations, of up to Ksh 250,000 to support your financial needs during the school season. 🔸️Affordable Logbook Financing- Need higher amounts? Enjoy a competitive rate of 1.5% with our logbook financing options with a repayment period of 36 months. 🔸️ Entrepreneurs, We've Got You Covered - Obtain a Business Loans, for those parents who are entrepreneurs. Obtain a tailored business loan to ensure your child's education remains uninterrupted. We understand the importance of supporting your children's welfare and education. Let's work together to make this school term a successful chapter in their journey towards a brighter future. Apply now and let us transform your child's dreams with affordable credit options. For more information contact us at ☎️ 0708-531-319 0790-072-589. #Tuesday #trending #financialinculion #backtoschool #schoolfee #education #credit #loan #funds #money #cash #salaryadvance #salary #finance #linkedingrowth #solutions #facilities #debt #management #services

Education, especially higher education, can be expensive. By having a plan in place, you can financially prepare for these costs in advance, reducing the financial burden when the time comes. Also, setting aside funds for your children's education helps you define the goal clearly. This can motivate you to save and invest consistently to achieve these objectives. Education costs tend to rise over time due to inflation. If you have a plan that account for these increases and ensure that you have sufficient funds available when your children are ready for college or university. Reduced Debt Burden: Without adequate savings for education, your children may need to rely on student loans or other forms of debt to fund their education. By planning ahead, you can reduce or eliminate the need for them to take on significant student debt. 📚 Feel free to read our blog: Don’t Leave Your Child’s Education to Chance: A Guide to Planning and Investing - https://lnkd.in/d5ZG4B_d ☎ Please get in touch at +91 90510 52222 for any queries. 🔗 For disclaimer, visit: www.daycoindia.com #DaycoIndia #DaycoSecurities #EducationPlanning #ChildEducationPlanning

6. Explore Education Loans: While saving for education is crucial, also consider the option of education loans. This can help ease the financial burden and may be more practical for higher education expenses. 🎓🏦 7. Utilize Tax-Efficient Instruments: Take advantage of tax-saving investment options such as Equity-Linked Savings Schemes (ELSS), Public Provident Fund (PPF), and Sukanya Samriddhi Yojana (for girl child). 📊💼 8. Diversify Investments: Diversification helps manage risk. Spread your investments across different asset classes like equities, debt, and other financial instruments based on your risk profile. 🔄📈 9. Explore Child-Specific Investment Options: Some financial instruments, like Children's Plans from insurance companies or mutual funds, are designed specifically for children's goals. Understand their features, costs, and potential returns before investing. 🧒📈 10. Regular Review and Adjustments: Periodically review your investment portfolio to ensure it aligns with your goals and risk tolerance. Make adjustments as needed, especially as your child's needs and the financial landscape change. 🔄📊 Remember that every family's financial situation is unique, so tailor your investment plan to meet your specific needs. Regularly reassess your plan and make adjustments as necessary to stay on track toward achieving your children's goals. #FinancialPlanning #ChildInvestment 🌐

𝐃𝐨 𝐲𝐨𝐮 𝐰𝐚𝐧𝐭 𝐲𝐨𝐮𝐫 𝐜𝐡𝐢𝐥𝐝 𝐭𝐨 𝐤𝐞𝐞𝐩 𝐩𝐚𝐲𝐢𝐧𝐠 𝐞𝐝𝐮𝐜𝐚𝐭𝐢𝐨𝐧 𝐥𝐨𝐚𝐧𝐬 𝐭𝐢𝐥𝐥 𝐭𝐡𝐞𝐲 𝐚𝐫𝐞 𝟏𝟎𝟎? 𝐍𝐨. Then, you need to read this. The education scene has changed dramatically over the years. The cost of education, especially higher education, is increasing. An August 2023 Report by BankBazaar showed that over the last decade, the inflation rate in education was around 11-12%, almost double that of consumer price inflation (CPI) at 6%. So, if you are a parent or planning to have kids, you must start building an education fund for your children as early as possible. But how can you start? 𝐇𝐞𝐫𝐞 𝐚𝐫𝐞 𝐟𝐢𝐯𝐞 𝐞𝐚𝐬𝐲 𝐬𝐭𝐞𝐩𝐬 𝐭𝐨 𝐠𝐞𝐭 𝐬𝐭𝐚𝐫𝐭𝐞𝐝. 1️⃣ Start Early: The earlier you start investing, the more your money can grow. All thanks to compounding. 2️⃣ Calculate the future cost: Next, estimate the cost of higher education considering inflation. In addition to tuition fees, you must estimate the cost of living, such as rent, food and transportation. You can use online calculators to estimate the amount of money you need to invest monthly. 3️⃣ Choose the Right Investment Option: The right investment option depends on how much time you have left to achieve this goal. If your kids are in primary school, you have more than ten years to plan for their higher education. Here, you can allocate a higher proportion to equity-oriented mutual funds as these funds can potentially deliver higher returns over the long term. 4️⃣ Systematic Investment Plan (SIP): After choosing the mutual fund of your choice and the amount you can invest every month; the next step is to start an SIP where the fixed amount will be invested automatically every month. 5️⃣ Review and Rebalance: You need to regularly review your plan and adjust your investments as you get closer to your goal.   Have you started investing in your kid's education? Do let us know. Mutual Fund investments are subject to market risks, read all scheme related documents carefully. #highereducation #financialplanning #mutualfunds #SIP

How you can use Education Loan as a Tax-Saving Tool ? 🌟 Embark on a Smart Financial Journey with Higher Education! Education loans can be more than just a financial obligation - they're a gateway to tax savings! Let's crack the hidden perks of Section 80E of the Income Tax Act and turn your education loan into an effective tax-saving tool. Let's explore how! 1. 🎯 Who Qualifies for Section 80E Benefits? - Eligible Borrowers: Individuals who have taken a loan for their own higher education or that of their spouse, children, or a student they are the legal guardian of. - Applicable Loans: Loans obtained from recognized financial institutions, including banks and charitable bodies, for higher education purposes. 2. 📘 What Counts as Higher Education? - Broad Scope: From post-secondary courses, including vocational training, to specialized programs, both within India and overseas - your pursuit for knowledge is covered. 3. 🏦 Loan Specifics: The Key to Unlocking Benefits - Personal Loans Excluded: Remember, loans from non-institutional sources like friends or relatives don’t qualify. - Interest is Your Ticket: It's the interest component of your loan that’s eligible for deduction, not the principal. 4. 💸 Maximizing Your Tax Deduction: - No Ceiling on Deduction: The best part? There's no upper limit to the interest amount you can claim. - Deduction Duration: Avail of this benefit for up to 8 years, starting from the year you begin paying the interest. 5. 🗂️ Documenting Your Deductions: - Proof of Payment: Keep those bank statements or interest certificates handy as proof of interest payments for claiming deductions. 6. 📝 Claiming Process Simplified: - Filing Right: Report this deduction under the 'Income from Other Sources' section in your tax return. 🔍 Pro Tip: Always consult with a financial advisor to align these benefits with your overall tax planning strategy. 💭 Over to You: Have you used an education loan? How did you manage its tax implications? Share your stories or ask your questions below! #EducationLoan #TaxSavings #Section80E #StudentFinance #HigherEducationInsights #FinancialWellness My New WhatsApp Channel: https://lnkd.in/dPFzXtCw Follow me for more empowering financial insights and strategies!

Education, especially higher education, can be expensive. By having a plan in place, you can financially prepare for these costs in advance, reducing the financial burden when the time comes. Also, setting aside funds for your children's education helps you define the goal clearly. This can motivate you to save and invest consistently to achieve these objectives. Education costs tend to rise over time due to inflation and relatively more when compared to general inflation. If you have a plan that account for these increases and ensure that you have sufficient funds available when your children are ready for college or university. Reduced Debt Burden: Without adequate savings for education, your children may need to rely on student loans or other forms of debt to fund their education. By planning ahead, you can reduce or eliminate the need for them to take on significant student debt. Feel free to read our blog: Don’t Leave Your Child’s Education to Chance: A Guide to Planning and Investing - https://lnkd.in/d5ZG4B_d ☎ Please get in touch at +91 90510 52222 for any queries. 🔗 For disclaimer, visit: www.daycoindia.com #DaycoIndia #DaycoSecurities #EducationPlanning #ChildEducationPlanning