Student Loan Interest Statement, Federal Form 1098 E, 2023

If you paid interest on a qualified student loan, you can potentially deduct it on your federal income tax return. Form 1098-E is used by loan servicers to report the interest paid, with copies sent to both borrowers and the IRS.

What's Form 1098-E?

It's a form you get if you paid interest on your student loans. This is important because you might be able to get some money back when you do your taxes.

Who Sends It?

The company you pay your student loans to sends it. If you paid at least $600 in interest, they must send it to you and the IRS.

What if You Don't Get It?

If you didn't pay at least $600 in interest, you might not get the form. If that happens, you can contact the company you pay your loans to and ask them how much interest you paid.

Why is it Important?

You use this form to get a deduction on your taxes, meaning you can reduce the amount of your income that gets taxed. The max you can deduct is $2,500, but there are some conditions.

Conditions for Deduction

  • You must legally be the one who has to pay the interest.
  • You're not married filing separately.
  • You or your spouse aren't claimed as someone else's dependent.
  • Your income is below a certain limit.

Income Limits

  • For single people, the deduction goes down if you make over $75,000, and it stops if you make more than $90,000.
  • If you're married, the reduction starts at $155,000, and the deduction stops at $185,000.

For current year's Form 1098 E, click here.