Four Adjustments to Income (continued)
Student Loan Interest Deduction
Taxpayers who paid interest on a student loan during the tax year may be able to deduct up to $2,500 of the interest paid. Taxpayers who paid $600 or more in interest to a single lender should have a statement from the lender showing the amount of interest paid.
Taxpayers who paid alimony to a resident of Puerto Rico during the tax year may deduct their payments regardless of whether the recipient reports their income.
These deductions are considered as not definitely related to a specific type of income and will be subject to the allocation required by Section 933. For more information and special instructions, see Publication 1321.