If you are Married Filing Separately, then you should be completing two tax returns using two separate accounts. On one account you would only enter income/deductions for you. On the other account you would only enter income/deductions for your spouse.
- If you use this filing status, then you will not be able to take the Student Loan Interest deduction at all.
If you are Married Filing Jointly, then income/deductions for both spouses are entered into one account.
- Your student loan interest deduction will be allowed. However, it will be limited to $2,500 regardless of whether you itemize your deductions or take the standard deduction. $2,500 is simply the maximum amount of Student Loan Interest that the IRS will allow anyone to take.
