Can I claim my student loan?
You can't claim the loan itself, but the interest on a loan used to pay for tuition, fees, room and board, books and supplies for yourself, your spouse, or your dependent is deductible.
This is called the student loan interest deduction and it can reduce your taxable income by up to $2,500 even if you don't itemize.
You can claim the deduction as long as the loan is in your name (or your spouse's if filing jointly) even if somebody else paid the interest. However, if the loan is in your name but somebody else claims you as a dependent, neither party is allowed to claim the deduction.
There are a few other qualifications. The student who used the loan must have been enrolled at least half-time in a program leading to a degree or certification. Also it's not available to Married Filing Separately taxpayers.The deduction is subject to a phase-out above certain income levels. When you enter your student loan interest, we'll ask questions to make sure you qualify and also calculate how much of a deduction you're entitled to.
Student loan interest is normally reported on Form 1098-E, which will typically be mailed out to you by early February if you paid at least $600 in interest for the year.
- Where do I enter Form 1098-E for student loan interest?
- What is Form 1098-E?
- Can I deduct education expenses that were paid with student loans?