Mr. Rath borrowed loan of ₹ 10 lakhs for higher education in India in the year 2007-2008. He completed the course study in 2010-2011. He started repayment of the loan from April 2012. He paid interest of ₹ 41,000 and principal of ₹ 1,20,000 during the financial year 2019-2020. The amount eligible for deduction under section 80E would be:
A. ₹ 1,20,000
B. ₹ 1,61,000
C. ₹ 41,000
D. ₹ 1,00,000 (monetary limit)
Answer:C
Mr. Rath borrowed loan of ₹ 10 lakhs for higher education in India in the year 2007-2008. He completed the course study in 2010-2011. He started repayment of the loan from April 2012. He paid interest of ₹ 41,000 and principal of ₹ 1,20,000 during the financial year 2019-2020. The amount eligible for deduction under section 80E would be:
A. ₹ 1,20,000 B. ₹ 1,61,000 C. ₹ 41,000 D. ₹ 1,00,000 (monetary limit)