https://www.live-feeds.com/feed/3-million-student-loan-borrowers-could-face-12-000-tax-penalty-warns-groupContinuously updated, source-cited coverage. https://www.live-feeds.com/feed/3-million-student-loan-borrowers-could-face-12-000-tax-penalty-warns-grouphttps://www.live-feeds.com/feed/3-million-student-loan-borrowers-could-face-12-000-tax-penalty-warns-group#u121367Wed, 14 Oct 2026 09:52:17 +0000Three million student loan borrowers face a potential tax penalty averaging $12,000 as debt relief catches up with expiring exemptions. A new study warns that individuals receiving cancellation through income-driven repayment plans over the next decade could see their overall tax bills triple. Borrowers in the southern region of the United States are projected to experience the most severe tax increases from this impending liability. The sudden financial pressure arrives as a temporary tax exemption for forgiven educational debt lapses, leaving many taxpayers vulnerable to unexpected IRS bills