Form 1098-E, also known as the Student Loan Interest Statement

Form 1098-E, also known as the Student Loan Interest Statement, is an IRS tax form issued by lenders to borrowers who have paid $600 or more in student loan interest during the tax year. Key points include:

1. Reports the amount of student loan interest paid

2. Issued by lenders, loan servicers, or educational institutions

3. Helps borrowers claim the student loan interest deduction on their tax returns

4. Typically mailed by January 31 for the previous tax year

5. Includes:

   – Borrower’s name, address, and Social Security number

   – Lender’s name, address, and identification number

   – Amount of interest received

This form is crucial for eligible taxpayers to reduce their taxable income by deducting student loan interest payments. The deduction is available even if the taxpayer doesn’t itemize deductions. However, there are income limits and other restrictions on who can claim this deduction. Borrowers should keep this form with their tax records and consult a tax professional or the IRS guidelines to determine their eligibility for the deduction.