Can student loan interest be an itemized deduction on your taxes? April 4, 2010
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msphenom83 asked:
The Student Loan Deduction allows you to deduct up to $2500. In 2007 I paid well over $2500 in interest and obviously want to take advantage of this.
The Student Loan Deduction allows you to deduct up to $2500. In 2007 I paid well over $2500 in interest and obviously want to take advantage of this.
Comments»
It’s an above the line adjustment, not an itemized deduction. The limit is $2,500, however, so if you paid more than that you get no benefit from the excess.
Student loan interest is an adjustment, you don’t have to itemize to claim it. It goes on the front page of the tax return as an adjustment.
Student loan interest is not an itemized deduction line item, but rather a deductin on the face of your tax return.
It is subject to income limitations however, so follow the worksheets to ensure you can take the deduction. Below is a link to help you.
It’s better than an itemized deduction. Assuming you are within the income limits to deduct it, you put it in the Adjustments section of your return, so you don’t even have to itemize to take it.