That’s great, sam. Do check on that IRS form that you will need to file at the end of the three-year post monitoring period. If I can find it in the meantime, I will post t here. Otherwise, without filing the form, you will be hit with income tax on that $90,00+ student loan.
This article from 2017 states the problem, but not the solution.
www.theregreview.org/2017/06/13/wiebold-removing-tax-student-loan/ Analysis | Education | Jun 13, 2017 Removing the Tax Consequences of Student Loan Discharge Jayme Wiebold “...In addition to reaching the end of a repayment period, certain events can trigger discharge. For example, if a student becomes disabled, or a graduate’s alma mater closes or is accused of fraud, student loan debt may be forgiven. Debt cancellation cannot be taxed in the event of a school closure under the Higher Education Act, but they can be taxed if discharged due to death, disability, and situations in which the school is accused of fraud.”
P.S. Aha! I think this is it- “...So if you believe you were insolvent prior to receiving loan forgiveness, you don’t have to include your forgiven debt on your tax return. To help you figure out if you qualify insolvent, you can use this Insolvency Worksheet provided by the IRS. In order to claim this exclusion, you will need to file Form 982. If you truly could not afford your debt, you may be eligible for this exclusion and be off the hook for paying taxes on your forgiven debt. Final word For many people, receiving a Form 1099-C, Cancellation of Debt may come as a surprise. If you have gotten your student loans forgiven or discharged through disability — or are planning to in the future — make sure you report the total amount on your tax return the year it is forgiven, whether you receive Form 1099-C or not...”