I got student loans deferred after few payments. Is it worth paying $39.99 to upgrade from free edition to claim $773.69? I am in TX so do not have to pay state taxes.

I live in Texas so do not have state income tax. I use Turbo Tax free edition. To see if I get any money back from 1098-E, I have to upgrade Turbo Tax and pay $39.99. Will I even get money back on it? The interest received by the lender is only $773.69.

741

Expert Alumni

Jun 4, 2019 7:25:56 PM

If you are in the lowest tax bracket (12%) deducting $774 in student loan interest would save you $93 in federal tax. You may be eligible for the TurboTax Free File Program. It has a $34,000 adjusted gross income limit to qualify. See the following for more information: https://ttlc.intuit.com/questions/2026912-how-do-i-switch-to-turbotax-freedom-edition

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I got student loans deferred after few payments. Is it worth paying $39.99 to upgrade from free edition to claim $773.69? I am in TX so do not have to pay state taxes.