What will really be hilarious is when they think "debt forgiven" = "in the clear."
Nope, they'll then get a 1099-C for that amount. According to the IRS, debt that's been forgiven is counted as income for that year. So these retards with their $100k in debt for a useless gender studies degree would then be on the hook for taxes on $100k of extra "income" for the year, while working as a barista at Starcucks.
Part of me wishes they would forgive student loans, just to hear the whining and crying when they owe taxes on it. $100k due "sometime, maybe" becomes a $20-30k tax burden due *now*, and the IRS won't be so forgiving.
anon 0 points 3 years ago
What will really be hilarious is when they think "debt forgiven" = "in the clear."
Nope, they'll then get a 1099-C for that amount. According to the IRS, debt that's been forgiven is counted as income for that year. So these retards with their $100k in debt for a useless gender studies degree would then be on the hook for taxes on $100k of extra "income" for the year, while working as a barista at Starcucks.
Part of me wishes they would forgive student loans, just to hear the whining and crying when they owe taxes on it. $100k due "sometime, maybe" becomes a $20-30k tax burden due *now*, and the IRS won't be so forgiving.