Student Loan & 1098-E

[scottirv]

Taxpayer has a dependent who is in college.  He set up a qualified student loan in his sons name.  Taxpayer (not son) has been making all interest payments for 2024.  The 1099-E was issued in his sons name.  Can the taxpayer deduct the interest on his tax filing?

[MinhT1 · Accepted solution]

If the taxpayer is the borrower or the co-signor on the loan and makes the loan payments, he can deduct the student loan interest on form 1098-E.

Please read this IRS document on the student loan interest deduction.

[scottirv]

Thank you!

[heifetzbh2022]

What if the student has graduated from college and now both the student and parent are making payments? Can the interest reported on the student's 1098-E be split between them?

[MinhT1]

Yes.

If both the borrower and the co-signor have repaid the loan, they can split the interest reported on form 1098-E, but the sum of interest claimed by both of them cannot exceed $2,500.

For more information, please read this IRS document.