Table of Contents
Are foreign education expenses tax deductible?
Section 80E deduction is a facility available in the Income Tax Act which provides a tax deduction for educational loans. An educational loan provided for foreign studies is also eligible for deduction under section 80E. The deduction can also be availed for repayment of loans for vocational training.
What is TCS on foreign remittance?
Learn everything about tax collected at source (TCS) on foreign remittances. Tax Collected at Source (TCS) is a form of income tax procured by the seller of certain goods from the buyer.
Is TDS applicable on tuition fees?
5\% TDS will be deducted by your bank if you are sending college fee or hostel charges out of India.
Is TCS collected on foreign remittance refundable?
If you’re unable to adjust the TCS amount, you can claim a refund to your account directly. Any TCS paid for foreign remittance will be reflected in the Form 26AS of the remitter. You will get a TCS certificate from the financial institution or Forex Company who collected the tax.
Is TCS deducted refundable?
Both TDS (Tax Deduction at Source) and TCS (Tax Collection at Source) is in the nature of Advance Tax. Therefore, both are utilised for meeting the tax liability. Any excess deduction/payment in excess of the tax liability is thus refundable.
Is TDS applicable on foreign consultancy?
–Independent Personal Services. In respect of foreign payments, TDS u/s. 195 is quite a grey area of the Indian Income Tax Act (act). Every payment to a non resident is not liable for TDS u/s.
Is TDS deducted on foreign payment?
Any person responsible for paying to a non-resident, not being a company, or to a foreign company, shall deduct income-tax thereon at the rates in force….Section 195 TDS on Non-Resident Payments.
| Sl. No. | Nature of Payment |
|---|---|
| 30 | Contributions or donations by the Government to international institutions |
| 31 | Remittance towards payment or refund of taxes. |
How do I claim college tuition on my taxes?
The deduction for college tuition and fees is no longer available as of December 31, 2020. However, you can still help yourself with college expenses through other deductions, such as the American Opportunity Tax Credit and the Lifetime Learning Credit.
Who is eligible for tuition and fees deduction?
Who can claim it: The tuition and fees deduction is available to students and parents who earned less than $65,000 (or $130,000 if married filing jointly) in 2020. Those who earned between $65,000 and $80,000 ($160,000, if filing jointly) may be eligible for a $2,000 deduction.