When you get a loan forgiven, even as part of a state or federal program, sometimes it is considered income by state and federal tax authorities unless it is explicitly stated otherwise.
House Bill 56 is one of those explicit statements that holds that when someone gets a loan repayed or forgiven under the Speech Language Pathologist Student Loan Repayment Program, the High Needs Educator Loan Payment Program, and the Mental Health Services Student Loan Repayment Program, that amount of loan repayment or forgiveness is not taxable income for state income tax purposes.
|House Bill 56 – Making Certain Loan Repayments Non-Taxable||Currrent Status – House Education 1/19/23|
|House Sponsors – Williams, Longhurst, Baumbach, Chukwuocha, Johnson // Hensley||Senate Sponsors – Sturgeon, Hansen, Sokola|
|House Yes Votes –||Senate Yes Votes –|
|House No Votes –||Senate No Votes –|
|House Absents or Not Voting –||Senate Absent or Not Voting –|