You'll need to sign in or create an account to connect with an expert.
You can deduct student loan interest (not principal or fees) under many circumstances described in
https://www.irs.gov/taxtopics/tc456 and https://www.irs.gov/publications/p970#en_US_2018_publink100010946 [pdf version is easier to read and is here (see page 31) https://www.irs.gov/pub/irs-pdf/p970.pdf ]
You need to figure out how much of the offset was interest for sure. And it had meet all of the requirements described above and be paid in 2019. (For 2019 taxes). If you get a 1098-E that includes the offset payment, then use that. If you may need to ask for one, which might or might not be easy to get.
You cannot deduct a tax offset for student loan debt on your taxes. However, you may be able to deduct the portion of the offset that represents student loan interest.
The agency servicing the loan will send you a Form 1098-E if any portion of your offset payment received was credited to interest. If you receive this form, you will enter the interest into TurboTax following these steps:
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
kmeetze88
Returning Member
mbirkenholz
New Member
cmode85
New Member
holly-smigelski
New Member
dheerajetta308
New Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.