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Cancellation of Education Loans

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If you have qualified education loans discharged, you may be able to subtract the entire amount discharged from your income. By doing this, you would not pay Minnesota income tax on the amount discharged.

Note: Student Loan Debt relief received under the Biden-Harris Administration’s Student Debt Relief Plan is included as taxable income on a Minnesota individual income tax return and does not qualify for a subtraction under current Minnesota law.

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