Personal income taxes: exclusion: loan discharge.

The Personal Income Tax Law provides for various exclusions from gross income, including an exclusion for the amount of student loan indebtedness discharged on or after January 1, 2015, and before January 1, 2020, for an eligible individual who is granted a discharge of any student loan pursuant to special provisions of the William D. Ford Federal Direct Loan Program Borrower's Rights and Responsibilities Statement because the individual could not complete a program of study due to the school closing or because the individual successfully asserts that the school did something wrong or failed to do something that it should have done. This bill would replace the reference to those provisions of the William D. Ford Federal Direct Loan Program Borrower's Rights and Responsibilities Statement to instead refer to the relevant sections in the Code of Federal Regulations that govern the above-referenced exclusion for discharged student loans.