My parent plus loans were sold to another servicer in 2023. I received a 1098-E with the amount of interest received by the lender. Should this be reported, deductible?

It depends. 

Is the 1098-E issued to you or your parents?

If you are legally obligated to pay on this loan, and the 1098-E is issued to you, yes, you would claim that on your tax return unless your parents claim you as their dependent. 

If your parents claim you as their dependent, they claim the interest.

According to the IRS:

“Interest paid by others. If you are the person legally obligated to make interest payments and someone else makes a payment of interest on your behalf, you are treated as receiving the payments from the other person and, in turn, paying the interest.”

Q. My parent plus loans were sold to another servicer in 2023. I received a 1098-E with the amount of interest received by the lender. Should this be reported as deductible?

A. Yes. You effectively paid it, since it was added to your debt, at the new loan provider.