2006-10-16 08:02:54 · 6 answers · asked by bbyrdrgs 1 in Business & Finance ➔ Taxes ➔ United States
The interest element is, assuming it is for (broadly speaking) education that would qualify for an education tax credit or deduction - ie getting a college degree at an accredited institution. You will get a 1098T from your lender next February (January if you're lucky) which will tell you the amount to put on your tax form.
2006-10-16 08:09:49 · answer #1 · answered by skip 6 · 2⤊ 0⤋
Interest only on a student loan is deductible for the tax year in which it is paid. You should get a statement showing how much you paid or have a toll free number to call so you can obtain the amount.
2006-10-17 11:07:43 · answer #2 · answered by acmeraven 7 · 0⤊ 0⤋
Student loan INTEREST can be used to reduce your AGI. It goes on line 33 of Form 1040 (for 2005) if it qualifies. Reducing your AGI also reduces your taxable income. To see if you qualify for the adjustment go to this document: http://www.irs.gov/pub/irs-pdf/i1040.pdf
and read the instructions for line 33. You didn't give enough information to answer your question.
2006-10-16 15:55:43 · answer #3 · answered by porkchop 5 · 3⤊ 0⤋
The loan interest is deductible since it is an expense but the principal is not deductible since you are merely repaying money you borrowed.
2006-10-16 15:18:41 · answer #4 · answered by goldenboyblue 3 · 1⤊ 1⤋
I believe that you could file it as a tuition deductible but you may want to contact someone like H&R Block and ask them first.
2006-10-16 15:11:10 · answer #5 · answered by Stacy H 3 · 0⤊ 6⤋
No.
2006-10-16 15:05:50 · answer #6 · answered by Anonymous · 0⤊ 4⤋