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Topic History of: Taxes
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steve The maximum deductible interest on a qualified student loans is $2,500. Taxpayers filing married/joint are allowed to deduct the full $2,500 only their "modified adjusted gross income" (MAGI) is $100,000 or less. If your MAGI is more than $105,000, but less than $135,000, the amount of your student loan interest deduction is gradually reduced. If your MAGI is $135,000 or more, you are not able to take any deduction.

See attched for IRS Publication 970 Tax Benefits for Education. Also visit www.irs.gov for more details.

Steven
bigdaddy How do you calculate whether or not you can deduct student loan interest? Meaning, do you have to be under the yearly income minimum using your gross income figures or your net income figure?
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