Taxes On Forgiven Student Loans
If schools and foundations forgive your loans, those loans might not be taxable. Changes to the exclusion rules mean loans made by some schools aren’t taxed.
For the exclusion rules to apply:
- An educational institution must have made the loan.
- The loan must have been part of a program that encourages students to serve in occupations or areas with unmet needs.
- Your job must fall under one of these:
- Governmental unit
- Tax-exempt Section 501(c)(3) organization
To learn more, see these at www.irs.gov:
- Publication 525: Taxable and Nontaxable Income
- Publication 970: Tax Benefits for Education
Related Resources
Military Tax Extensions
Learn about tax extensions for the military and get tax answers at H&R Block.
4 Things Kids Could Learn About Money During el Dia de Reyes
Since Dia de Reyes is a time for gift-giving and celebration, why not teach your kids about money during the holiday? Learn how at H&R Block.
Understanding Your Closing Disclosure
What is a closing disclosure? When you buy a house, you will receive a closing disclosure that can benefit you at tax time. Learn more at H&R Block.
Top 10 Tax Tips if You Have a New Baby
A new baby can mean more expenses, but also new child care tax credits. Learn what to do after bringing home your bundle of joy with H&R Block.