Student Loan Marriage Penalty Elimination Act of 2025

This bill would let married couples each use the student loan interest deduction limit on their own, instead of sharing one cap together. In simple terms, each spouse could count up to $2,500 of interest they paid on their own qualified student loans, rather than the couple being limited to $2,500 total. It also keeps a rule that you can’t get a double tax break for the same amount of interest. These changes would start for tax years beginning after December 31, 2024.

Key points:

• Who is affected: Married couples with student loan interest to deduct.
• What changes: The $2,500 limit would apply to each spouse separately, and double-dipping is not allowed.
• When: Applies to tax years starting in 2025 and after.