On the other hand you will, if the American Families Plan (the follow-up to Biden’s earlier American Rescue Plan) really does pass as written, it would extend both the Child Tax Credit expansion and Child & Dependent Care Tax Credit expansion/refundability, likely making the old strategy of using MFS far less attractive to student loan borrowers who have young children in future years as well.
Student loan forgiveness has been a policy proposal from many Democratic politicians for years. Yet while loan forgiveness proposals may have seemed extremely unlikely 2 years ago, they now appear to have increased chances of passing given the current political backdrop. With Democrats currently in control of the White House and both houses of Congress, momentum has been building.
Actually, the Western Rescue Package (ARP) Act included a term who beat taxes on forgiven education loan personal debt anywhere between today and 2025. So it condition is generally thought to was basically installing a foundation to your odds of some degree off student loan forgiveness, sometimes thru laws or a manager action, for the majority or all Federal student loan borrowers regarding the near coming, whilst setting individuals create no further need to worry about the fresh new goverment tax bill who does feature student loan forgiveness.