I have a home equity loan for education expenses. Is the interest deductable under mortgage or educational expenses?

[JulieH1 · Accepted solution]

The interest would be deductible under mortgage deduction.

Interest on such home equity debt is generally deductible under mortgage interest regardless of how you use the loan proceeds, including to pay college tuition, credit card debt, or other personal purposes. 

[wardcolin]

Is this still true with 2018 tax reform? I also used home equity loan to pay for education (loan received in 2017, tuition paid in 2017). I will have to pay interest on my loan for several years to come. I used the home equity loan on the assumption that I would be able to deduct the interest. Is this no longer the case?

[SweetieJean]

@wardcolin
<a rel="nofollow" target="_blank" href="https://www.irs.gov/newsroom/interest-on-home-equity-loans-often-still-deductible-under-new-law">htt...>
However, you may be able to take a Tuition and Fees Deduction.

[macuser_22]

Also keep in mind that the standard deduction has doubled for 2018 so if filing jointly it will be
$24,000, which means that many people that itemized in 2016 will not meet that threshold to itemizes in 2018 so deducting mortgage interest will be a moot point for many.

[SweetieJean]

and then there's this:
<a rel="nofollow" target="_blank" href="https://www.wbaltv.com/article/auditors-30m-taxpayers-will-owe-more-due-to-low-withholding/22605816"...>