North Carolina says it will tax Biden's student loan forgiveness, and 3 more states are likely to fo

[In It to Win It]

Student loan forgiveness will be considered taxable income in North Carolina, the state's Department of Revenue said on Wednesday.

Although the Biden administration's student loan forgiveness plan is exempt from federal tax, the debt relief is still triggering some individual state taxes.

In North Carolina, student loan relief is taxable because the state has not fully adopted a specific Section of the Internal Revenue Code. Congress used the provision — Section 108(f)(5) — to exempt forgiven student loans between 2015 and 2021 from tax as part of the American Rescue Plan Act.

The department said in the press release: "The North Carolina General Assembly did not adopt Section 108(f)(5) of the IRC for purposes of the state income tax. Therefore, student loan forgiveness excluded pursuant to IRC 108(f)(5) is currently considered taxable income in North Carolina."

https://www.yahoo.com/news/north-carolina-says-tax-bidens-105925738.html

[Freddie]

1. Pennsylvania will not

Thank you Gov Wolf.

[JohnSJ]

2. Most of the blue states will not either, and will rush legislation through

[Lovie777]

3. I'm glad I live in a Blue State .......

I have more freedoms here.

[TheProle]

11. There are some blue states projected to tax student loan forgiveness as well.

While the Tax Foundation initially estimated that 13 states may tax student loan forgiveness, the organization has revised projections over the past week as states provided updates.

It now projects five states — Arkansas, Minnesota, Mississippi, North Carolina and Wisconsin — may tax student loan forgiveness.

While taxing forgiveness isn’t likely in Massachusetts, the state hasn’t officially made a determination.

https://www.cnbc.com/2022/09/01/these-states-may-tax-federal-student-loan-forgiveness.html

[Demsrule86]

4. Well North Carolina...maybe that will finally turn you a pretty shade of blue...the parents

and the kids won't like this and some may live in the burbs that you can't really gerrymander effectively...and so you will all be tossed out of office as you deserve. We are coming for you....get ready!

[WmChris]

5. Repukes taxing students?

What's next PPP loans forgiven? Nah to many of their well connected rich buddies snuck in and gobbled them up.

[getagrip_already]

6. Is NC taxing forgiven PPP Loans?

I don't need t wait for an answer even though I don't know. It's NC. Land of the white, home of the corrupt.

[Mr. Ected]

7. How NOT to win voters

Campaign on a platform of lower taxes; collect tax on a forgiven loan.

Bet the red hats don't know whether to cheer or cry.

[Kid Berwyn]

8. The Cruelty Is the Message

How un-American. Like the Confederacy.

[Phoenix61]

9. That will go over well. Nice campaign add in there somewhere. nt

[lostnfound]

10. Unfortunate. At 5.25%, it's $525 of a $10,000 loan, assuming man has meaningful income.

[Ilsa]

12. Hahaha. Florida, Texas, Nevada, etc won't be able to take their cut

from Biden's student loan forgiveness.