A lender is required to provide you with a 1098-E if you have paid more than $600 during the year in student loan interest. You are not required to do itemized deductions to take advantage of the student loan interest deductions. When you file your taxes student load interest will be subtracted from your total adjusted gross income (AGI) for the year.
Any interest you paid on personal loans, other than an exception of specific mortgage loans, is generally not deductible on your tax return. Though some taxpayers who have a modified adjusted gross income (MAGI) under $80,000 may qualify for student loan interest deduction used for higher education. If you are married and filing jointing you have a higher MAGI threshold of $160,000. Often MAGI is determined before deduction student loan interest from your reported gross income on your tax return. In 2014 student loan interest may decrease the amount of taxable income.
If you paid student load interest in excess of $2,500 you can only deduct up that amount.
