Still Paying Student Loans?

If so, don’t forget to go ahead and deduct the interest! See the highlights of this benefit in the table below.

Feature

Description

Maximum benefit You can reduce your income subject to tax by up to $2,500.
Loan qualifications Your student loan:
must have been taken out solely to pay qualified education expenses, and
cannot be from a related person or made under a qualified employer plan.
Student qualifications The student must be:
you, your spouse, or your dependent, and
enrolled at least half-time in a degree program.
Time limit on deduction You can deduct interest paid during the remaining period of your student loan.
Phaseout The amount of your deduction depends on your income level.

Simply Taxes, LLC is a local year-round tax preparation firm with an office located in North Raleigh. Our Raleigh accountants are ready to work one-on-one with you to help maximize your refund opportunity and to provide other tax services in a professional manner.

The information contained within this article is for general guidance only. As such, it should not be used as a substitute for consulting with professional accounting, tax, legal or other competent advisers.

 

Source: IRS Publication 970

This entry was posted in Personal Taxes and tagged . Bookmark the permalink. Post a comment or leave a trackback: Trackback URL.

Leave a Reply