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June 6, 2019
Question

I cosigned on my daughter's student loan. can i claim the 1098e student loan interest paid on my tax return?

  • June 6, 2019
  • 2 replies
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2 replies

MargaretL
Employee
June 6, 2019

Yes, you can deduct student loan if you are liable to pay it (and you are as a co-signer) and actually paid it (and providing you meet general qualifications I listed below).  Here is data entry:

  1. Federal Taxes 
  2. Deductions & Credits
  3. Education
  4. Select Student Loan Interest Paid (Form 1098-E)

The issue may arise if the form 198-E is not in your name. However, if you ever receive a letter from the IRS to "prove" that you were obligated to pay the loan, you can simply send them a copy of the loan with your name on it.

 

You can only deduct Student Loan Interest   if all of the following apply:

  • You paid interest on a qualified student loan in tax year 2016
  • You are legally obligated to pay interest on a qualified student loan
  • Your filing status is not married filing separately
  • Your MAGI is less than a specified amount which is set annually, and
  • You or your spouse, if filing jointly, cannot be claimed as dependents on someone else's return
February 23, 2020

may I claim the interest, all of which I've paid, on my daughter's school loan, for which I am the cosigner, without having claimed her as a dependent?

February 24, 2020

Yes, you can claim the student loan interest even though you are not claiming your daughter since you are legally obligated to pay the student loan interest. However, your filing status cannot be married filing separately. Please view this TurboTax FAQ to view the full list of qualifications for claiming the student loan interest.

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