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New Member
posted May 31, 2019 8:37:10 PM

I cosigned my daughters student loan can I claim the interest for it if she is my dependent?

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1 Best answer
New Member
May 31, 2019 8:37:12 PM

Yes, since you are the cosigner that means your are legally obligated to repay the loan and you can also deduct the 1098-E for your dependent on your tax return.

You can claim the deduction if all of the following apply:

  • You paid interest on a qualified student loan in tax year 2016
  • You are legally obligated to pay interest on a qualified student loan
  • Your filing status is not married filing separately
  • Your MAGI is less than a specified amount which is set annually, and
  • You or your spouse, if filing jointly, cannot be claimed as dependents on someone else's return

Please see the following IRS link for more information: https://www.irs.gov/taxtopics/tc456.html

In TurboTax when you enter the 1098-E, please select the box for yourself as the "borrower."


[Edited 1/28/2017]

4 Replies
New Member
May 31, 2019 8:37:12 PM

Yes, since you are the cosigner that means your are legally obligated to repay the loan and you can also deduct the 1098-E for your dependent on your tax return.

You can claim the deduction if all of the following apply:

  • You paid interest on a qualified student loan in tax year 2016
  • You are legally obligated to pay interest on a qualified student loan
  • Your filing status is not married filing separately
  • Your MAGI is less than a specified amount which is set annually, and
  • You or your spouse, if filing jointly, cannot be claimed as dependents on someone else's return

Please see the following IRS link for more information: https://www.irs.gov/taxtopics/tc456.html

In TurboTax when you enter the 1098-E, please select the box for yourself as the "borrower."


[Edited 1/28/2017]

New Member
May 31, 2019 8:37:13 PM

so the 1098 E form has her name on it. but when I go to put the information into my tax return it only shows mine and my husbands name to select. what do I do?

Employee Tax Expert
May 31, 2019 8:37:15 PM

Please see the last line of the edited answer for further instructions.

Level 2
May 31, 2019 8:37:17 PM

Additionally: We know that if the full-time student child is 24 years or older at the end of the tax year, that immediately disqualifies them as a dependent. However, the parents can still pay loan interest, and claim the loan interest deduction for loans that originated when the child qualified as a dependent. See IRS Topic Number 456 - Student Loan Interest Deduction. Note the part about, "... or a person who was your dependent when you took out the loan..."