Can Student Loan Interest Be Used As A Tax Deduction If The Loans Are In Deferment/forbearance?
A Reader Asks…
I know that student loan interest can be deducted.
My student loans are all either in deferment or forbearance. I’m accruing interest on some of them, but I haven’t actually paid any interest yet. Can I deduct the interest that accrued?
Thanks!
Similar Posts:
- Federal Student Loans For Newbies
- How Is It Possible To Deduct More Than Just Interest On Student Loans?
- Learn About Private Student Loan Consolidation
- Will Deferring Student Loans Affect My Credit?
- What Does It Mean When My Student Loans Have A Zero Balance Due To A Claim?
Related Stuff:
Tags: Deduction, Deferment/forbearance, interest, loan, Low Rate Loans, Student, Used
July 14th, 2009 at 8:37 am
No, you can only deduct the interest when you actually pay it, not when it accrues
July 14th, 2009 at 12:54 pm
You can only deduct interest that you actually PAID during the tax year, not the interest that is accruing. Sorry to be the bearer of bad news but you have to wait until you start making payments on the loans to be able to take a deduction for any of the interest.
July 14th, 2009 at 5:05 pm
$0 paid, $0 deductible.