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Education Loan EMI Calculator India — Section 80E

Calculate education loan EMI with moratorium period and Section 80E tax deduction for 8 years.

Section 80E: 100% deduction on education loan interest — no upper limit, 8 years, old regime only. On ₹10L loan at 10%: saves ~₹26,520/year in tax at 30% slab.
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Education Loan EMI & Tax Benefit Calculator

Section 80E — full interest deduction for 8 years, no upper limit

📚 Section 80E — Unique Benefit: The entire interest paid on education loan is deductible with NO upper limit. Available for 8 consecutive years from first repayment. Only in Old Tax Regime. No deduction on principal — interest only.
Loan Details
7% (Govt bank) 12% (Pvt bank) 18% (NBFC)
Interest accrues during moratorium and is added to principal
Tax Profile
Only the person actually paying the EMI can claim 80E
Section 80E is available only under Old Tax Regime
80E is over and above 80C — no shared limit

Section 80E — Complete Guide

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Who Can Claim?

The person who actually repays the loan — student (after getting job) or parent (if loan in parent's name). Both cannot claim simultaneously. Loan must be from a bank, financial institution, or approved charitable institution.

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Eligible Courses

Any full-time course for higher education in India or abroad — graduation, post-graduation, professional courses (medicine, engineering, management, law). Vocational courses notified by government also qualify.

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No Upper Limit

Unlike 80C (capped at ₹1.5L), 80E has NO upper limit. If interest paid is ₹5 lakh in a year, the full ₹5 lakh is deductible. This makes it very powerful for large education loans abroad.

8-Year Limit

Deduction available for 8 consecutive years starting from year 1 of repayment. If loan is repaid before 8 years, deduction is for those years only. If tenure >8 years, interest beyond year 8 is NOT deductible.

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Old Regime Only

Section 80E is available ONLY under the Old Tax Regime. If you have a large education loan, this is a strong reason to opt for old regime — especially for high-income individuals with large loan interest.

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Strategy Tip

For study abroad loans of ₹50L+, Section 80E can save ₹1.5-4.5L in tax per year for 8 years. Compare this with old vs new regime to decide which saves more — often old regime wins significantly with large education loan interest.

✅ Why Use This Calculator

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Moratorium

No-EMI period with interest capitalisation modelled.

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Section 80E

Tax deduction on interest for 8 years.

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Year-Wise

Full repayment table with principal and interest split.

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Effective Cost

Net interest after 80E tax saving.

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All Rates

Works with any bank rate.

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100% Private

No data stored. Runs in your browser.

❓ Frequently Asked Questions

Section 80E education loan benefit?+
100% deduction of interest — no upper limit. 8 years. Old regime only.
What is moratorium period?+
Course + 1 year no-EMI. Interest capitalises. EMI starts after moratorium.
Can parents claim 80E?+
Yes if loan is in parent name. Only actual repayer can claim.