I was on F-1 from August 2004 to September 30th 2006.
I was on H1B form October 1 2006 to December 31st 2006.

While filing 1040NR, can I claim student loan interest deduction?

CINTAX says I cannot since I was not a student on 31st December 2006.

Please advice... I would like to mail in my return as soon as I get the answer to this... appreciate your help!

Anyone has any idea about this? Please let me know...

ATE I understand you are really busy, but could you please answer this?

CINTAX is wrong. You CAN claim student loan interest as a non-resident alien if your income is below a certain level ($65K for a single person).