There are credits that make going to school a tax saving event. In addition to a deduction for student loan interest, there are also the American Opportunity Credit for people getting a 4 year undergrad degree and the lifetime learning credit for less than full time students or postgraduate degrees. See this link:
http://taxes.about.com/od/deductionscredits/qt/education.htm
This will help bring down the cost of a college education a little bit.