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hhs162003
New Member

I got a 1098-e form but i didnt pay student loan interest.

I consolidated my loans last year, but did not pay on my loans. I have received two 1098-e forms. Should I file these forms as if I did pay on my loans?
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1 Reply
Patrice
New Member

I got a 1098-e form but i didnt pay student loan interest.

Yes, you can still claim your student loan interest (1098-E) on your 2016 tax return.

However, your deduction is limited to $2,500 even though the interest actually received by your new lender may be more than $2,500. Note that you cannot carryover any unused portion of student loan interest. 

Please see "Table 4-1.Student Loan Interest Deduction at a Glance" and the "Interest on refinanced student loans" section of IRS Publication 970: http://www.irs.gov/publications/p970/ch04.html#en_US_2014_publink1000178269

How to enter student loan interest paid from Form 1098-E in TurboTax:

  • Click on Federal Taxes
  • Click on Deductions and Credits
  • Click on I'll choose what I work on
  • Scroll down to Education
  • On Student Loan Interest Paid (Form 1098-E), click the start or update button

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