If A Student Is Claimed As A Dependent By His/Her Parent In A Particular Taxable Year, May The Student Take The Student Loan Interest Deduction For Student Loan Interest That He/She Pays In That Year?
No. The student may not claim the student loan interest deduction in any taxable year in which he/she is claimed as a dependent on another taxpayer's return. However, if the student continues to pay interest on a student loan and meets the other eligibility requirements, the student may claim the student loan interest deduction for payments made in a later year when the student is no longer a dependent on his/her parent's Federal income tax return.
Other Student Loan Interest Deductions FAQs
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Q:
Are There Any Limits On What Qualifies As A Student Loan?
A: Yes. The loan must have been used to pay the costs of attendance at an eligible educational institution for a student enrolled at least halftime in a program … More -
Q:
Is A Student Loan Interest Deduction Available If The Student Loan Is Not Federally Guaranteed Or Otherwise Subsidized?
A: Yes. As long as the loan was used to pay the costs of attendance at an eligible educational institution and the other eligibility requirements are met; the deduction … More -
Q:
What Costs Are Included In The Costs Of Attendance?
A: Costs of attendance include all items that are included in costs of attendance for purposes of calculating a student's financial need in accordance with the Higher … More -
Q:
Is The Deduction Available For Interest Paid On Loans Used To Pay For Graduate School?
A: Yes. More -
Q:
Are There Any Limits On Who May Take The Student Loan Interest Deduction?
A: Yes, there are income restrictions. To claim the maximum deduction, a taxpayer must have modified adjusted gross income of $40,000 or less ($60,000 for married … More -
Q:
May A Former Student Whose Loans Are Already In Repayment Deduct The Interest They Pay On A Student Loan On Or After January 1, 1998?
A: Yes, but they may deduct only those payments made during the first 60 months that interest payments are required on a loan. If interest payments on a student loan … More -
Q:
May A Parent Claim The Student Loan Interest Deduction If The Parent Borrows To Pay His/Her Childs Costs Of Attending College?
A: Yes. A parent may claim the student loan interest deduction if the parent borrows money to pay the costs of attending college for members of the individual's family … More -
Q:
If An Individual Has Paid More Than $1,000 In Interest On Student Loans In 1998 And Is Otherwise Eligible To Take The Maximum Student Loan Interest Deduction, How Large A Deduction May The Individual Claim?
A: The individual's student loan interest deduction for 1998 is $1,000, provided the individual's modified adjusted gross income falls below the point where the … More -
Q:
Does An Individual Have To Itemize His/Her Income Tax Deductions To Claim The Student Loan Interest Deduction?
A: No. The student loan interest deduction is available regardless of whether an individual elects to take the standard deduction or to itemize deductions. More -
Q:
Are Tax Benefits Available If The Student Repays His/Her Loan By Performing Community Service Rather Than Making Cash Payments?
A: There may be. Loan forgiveness provided in return for community service is taxfree when it is part of certain lending programs run by the Federal, state, or … More
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