Student loan interest

[gman]

Can it be taken by parents if student is a dependent of theirs even if it comes in the name and ID # of the student only?

[BP.]

No. TTB 12-9, bottom left.

[gman]

I just read this in IRS PUB, so it sounded like you could for your dependent???
you, your spouse, or your dependent, and
•enrolled at least half-time in a degree program

[BP.]

I just read this in IRS PUB

Sounds like you might mean Pub 970, p. 30? See p. 33. Example 2 is your case, I think.

[TAX4US]

Does this change the picture where the parents have co-signed a student loan. Student was a dependent at time of signing.

[tpert]

Does this change the picture where the parents have co-signed a student loan. Student was a dependent at time of signing.

I believe that it does in the case of a student who defaults on the loan. If the student defaults on the loan, I would think action would be taken by the lender to force the co-signer to pay. I have never actually seen this happen, and would want to see a lot of paperwork proving it before deducting it for the parents. They are not liable when they co-sign.