Insertion of new section 87A

Section 19 of the Finance Act, 1964 deals with insertion of new section 87A. Insertion of new section 87A 19. After section 87 of the Income-tax Act, the following section shall be inserted, namely:— Rebate on educational expenses in certain cases "87A.

Insertion of new section 87A

19. After section 87 of the Income-tax Act, the following section shall be inserted, namely:—

Rebate on educational expenses in certain cases

"87A. Where an individual, being a resident, who is not a citizen of India has expended any sum in the previous year out of his income chargeable to tax for the full-time education of his child wholly or mainly dependent on him and who is not more than twenty-one years of age at any University, college, school or other educational institution situate In a country outside India, he shall be entitled to a deduction, from the amount of income-tax on his total income with which he is chargeable for any assessment year, of an amount equal to the income-tax calculated at the average rate of income-tax on a sum—

(i) which, in the case of an individual who has one such child, shall not exceed two thousand rupees or twenty-five per cent, of his total income, whichever is less; and

(ii) which, in the case of an individual who has more than one such child, shall not exceed four thousand rupees or twenty-five per cent, of his total income, whichever is less.".

[Finance Act, 1964]

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Section 19, The Finance Act, 1964 (Act 5 of 1964).