Posted on Jul 13, 2019
Disabled US Veterans Could Have Student Loan Debts Automatically Erased Thanks to New Bipartisan...
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Yes this should be done, but I hope they also waive the taxes for discharging any loan debt. Not many know that when the feds forgive your student loan debt due to disability that it is claimed as income for that year and many disabled people who get their loans forgiven have a nice surprise at tax time when they realize that the government says their loan payoff is considered income. I remember reading an article a couple of years back where a girl ended up having cancer and became disabled and had her loan debt forgiven only to owe the taxes on the payout at tax time.
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I would agree and echo the CPT's comment about taxes. The taxes on it should be forgiven too.
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