![]() So as a final step, you'd subtract $420 from $900 to arrive at an allowable deduction of $480. ![]() The $420 represents how much of your $900 in interest is disallowed. ![]() The first part of the calculation would be: Because you earned too much to qualify for a full deduction, you have to calculate your partial deduction. Let's suppose you're a single taxpayer with a MAGI of $72,000 who paid $900 in interest on a student loan. Here's a hypothetical example to show how student loan interest deductions work. Example of a Student Loan Interest Deduction 1, 2021, until the end of 2025, became tax-free. Department of Education.Īs part of the American Rescue Plan signed into law on Maby President Biden, all forms of student loan forgiveness from Jan.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |