In $2022,$ Peely, who is single, received his bachelor's degree and started working. In $2023,$ he began paying interest on qualified education loans and had modified AGI of $$80,000.$ He paid interest of $$1,200$ in $2023.$ Which of the following statements is correct?

The full $$1,200$ is deductible in arriving at adjusted gross income.

Taxpayers are not allowed a deduction for education loan interest in $2023.$

If his modified AGI had been $$84,000,$ the phase$-$out rules would have reduced his deductible interest to zero.

Due to the phase$-$out rules, only a portion of the $$1,200$ in interest will be deductible.