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Artificial Intelligence (AI) tools have become an important part of higher education by supporting students in academic activities such as assignments, research, content writing, and exam preparation. This study aims to examine the attitudes and perceptions of students towards the ethical use of Artificial Intelligence tools in higher education, with special reference to UG Commerce students in Pollachi Taluk. The study is based on primary data collected from 300 respondents using a structured questionnaire. Percentage analysis, mean, standard deviation, and ranking techniques were used to analyse the data. The findings reveal that most respondents are aware of AI tools and use them regularly for academic purposes. ChatGPT emerged as the most frequently used AI tool. The study also indicates that respondents generally have a positive attitude towards AI tools while recognising the importance of ethical usage. Most respondents believe that AI should be used only as a learning aid and not as a substitute for independent work. The study concludes that AI tools offer significant benefits in higher education when used responsibly. Promoting ethical awareness and implementing clear institutional policies can help students use AI effectively while maintaining academic honesty and improving learning outcomes.