Yes, student loan interest may be deducted without using itemized deductions.
There are some income restrictions that may limit your deduction, but TurboTax will let you know if you are not getting a tax benefit after you enter the student loan interest in your return.
Use these steps to go to the section of your return to enter your student loan interest reported on Form 1098-E:
On the top row of the TurboTax online screen, click on Search (or for CD/downloaded TurboTax locate the search box in the upper right corner)
This opens a box where you can type in “1098-E” (be sure to enter exactly as shown here) and click the magnifying glass (or for CD/downloaded TurboTax, click Find)
The search results will give you an option to “Jump to 1098-E”
Click on the blue “Jump to 1098-E” link and enter your information