Ask The Taxgirl: Credit Card Debt

Taxpayer asks:

I spent most of last year paying off my credit card. A friend told me that this was deductible but I don’t know where to put it on my taxes. Where does it go?

Taxgirl says:

I’m guessing that your friend hasn’t filed a tax return since the Reagan era…

Personal debt (other than student loan interest and mortgage loan interest) is not deductible on your personal income tax return. It used to be – years ago – but was eliminated under the sweeping tax changes made in the Reagan era.

Congrats on paying off the debt. It’s not deductible – but don’t you feel better being debt free?

Thanks for reading!

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