All Federal Stafford, PLUS and Federal Consolidation Loans qualify. Private student loans do not automatically qualify but may be eligible if the loan and borrower requirements are met and if you have completed and filed a W-9S Form with their lender. A W-9S Form is your certification that the loan was used solely to pay for qualified education expenses.

Taxpayers who have obtained loans to pay for their own, their spouse’s or their dependent’s cost of at least half-time attendance in a degree program at an accredited college may be eligible to deduct all or a portion of the interest paid on their qualifying loans each tax year. The allowable deduction is subject to a limitation based on the amount of modified adjusted gross income of the taxpayer, and is phased out at higher income levels.

The Internal Revenue Code (IRC) contains provisions that may provide tax savings to individuals and families who pay higher education expenses.