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April 29, 2020
Question

For Virginia State Tax, is a student loan interest (1098-E) included in the Schedule of Income? If so, what line does it go in?

  • April 29, 2020
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Hal_Al
Employee
April 29, 2020

Q.  For Virginia State Tax, is a student loan interest (1098-E) included in the Schedule of Income.

A. Yes. But you only enter it on the federal return. So, the only entry point, in TurboTax, is in the federal section.

 

Form 1098-E does not show any income.  It shows the amount of student loan interest you paid.  You are allowed to deduct that (up to $2500) on your federal return.  If you do so, it automatically transfers to your VA return as part of your federal AGI.  There is no additional add back or deduction on the VA return.