Taxes and student loan repayment
January 28, 2009 12:50pm CST
Okay, I'm pretty naive to this sort of thing. I would appreciate any confirmation or advice regarding my situation. I graduated from college towards the end of 2007. I did not attend college in 2008 so my parents cannot claim me as a dependent this year. I've been having a very hard time finding work after college. I only had one temp assignment in 2008. It paid over $400 so I gather I have to file taxes this year. Now, I'm very grateful to my parents as they're helping me repay my student loans while I search for work--and, honestly, I've applied almost everywhere. I did some online researching last night and found some examples on the government's website regarding student loan repayment and taxes. One example is if the parents are helping to pay the loan, it is still seen as the student paying the loans and he/she can deduct the interest on their taxes. But does this still apply in my case? The amount of deductable interest exceeds the income I made in 2008. I really don't understand how the process works so educate me if you must.