How will you Do the Student loan Attention Deduction?
Now, can you imagine you will be partnered and you can filing jointly. Your reduced $dos,500 when you look at the student loan interest last year, as well as your taxable income is $165,100.
- $165,100000 $140,00 (or $25,100000 / $31,100 = 0.833 otherwise 83.3%)
- Multiply $2,500 of the 0.833% to possess a total of $2,083
- Subtract $dos,083 in the $dos,five-hundred your paid in student loan focus
Bringing the student loan focus deduction is actually truth be told effortless. Score a copy of your own 1098-Age income tax function. It is a student loan notice statement out of your student loan servicer you to accounts simply how much you paid in education loan appeal having the season. (more…)