About REAL ID

The REAL ID Act establishes minimum security standards for license issuance and production and prohibits certain federal agencies from accepting for certain purposes driver’s licenses and identification cards from states not meeting the Act’s minimum standards. The purposes covered by the Act are: accessing certain federal facilities, entering nuclear power plants, and, boarding federally regulated commercial aircraft.

The Department of Homeland Security (DHS) announced on December 20, 2013 a phased enforcement plan for the REAL ID Act (the Act), as passed by Congress, that will implement the Act in a measured, fair, and responsible way.

Secure driver's licenses and identification documents are a vital component of our national security framework. The REAL ID Act, passed by Congress in 2005, enacted the 9/11 Commission’s recommendation that the Federal Government “set standards for the issuance of sources of identification, such as driver's licenses.” The Act established minimum security standards for license issuance and production and prohibits certain federal agencies from accepting for certain purposes driver’s licenses and identification cards from states not meeting the Act’s minimum standards.

DHS is committed to enforcing the REAL ID Act in accordance with the phased enforcement schedule and regulatory timeframes. It has been 16 years since the REAL ID Act was passed and half of all the states have already met the REAL ID minimum standards.

The Act does not require individuals to present identification where it is not currently required to access a federal facility (such as to enter the public areas of the Smithsonian) nor does it prohibit an agency from accepting other forms of identity documents (such as a U.S. passport or passport card).

The Act’s prohibitions do not affect other uses of driver’s licenses or identification cards unrelated to official purposes as defined in the Act.

Passed by Congress in 2005, the REAL ID Act enacted the 9/11 Commission's recommendation that the Federal Government “set standards for the issuance of sources of identification, such as driver's licenses.” The Act established minimum security standards for state-issued driver's licenses and identification cards and prohibits certain federal agencies from accepting for official purposes licenses and identification cards from states that do not meet these standards. These purposes are:

• Accessing certain federal facilities
• Boarding federally regulated commercial aircraft
• Entering nuclear power plants

The enforcement date is May 3, 2023.

Federal agencies, including DHS and TSA, may only accept state-issued driver’s licenses and identification cards as identification for purposes of accessing federal facilities - including TSA airport security checkpoints - if the license or card was issued by a REAL ID compliant state in accordance with the REAL ID security standards (meaning the license or card must include the REAL ID compliant star marking). Enhanced Driver’s Licenses (EDL) issued by Washington, Michigan, Minnesota, New York, and Vermont are considered acceptable alternatives to REAL ID-compliant cards and will also be accepted for official REAL ID purposes. Most EDLs do not contain the star marking and this is acceptable.

DHS is working closely with all states and territories to provide assistance and guidance to achieve full compliance by the May 3, 2023 deadline. As of March 26, 2021, 55 states and territories are fully compliant with the REAL ID requirements, and all states are on track to begin issuing compliant licenses and IDs by the May 3, 2023 deadline.

Visit your state’s driver’s licensing agency website to find out exactly what documentation is required to obtain a REAL ID. At a minimum, you must provide documentation showing: 1) Full Legal Name; 2) Date of Birth; 3) Social Security Number; 4) Two Proofs of Address of Principal Residence; and 5) Lawful Status.

States may impose additional requirements, so check with your state’s driver’s licensing agency website, before visiting them in person, for additional guidance and assistance.

Process for Venezuelans

 ALERT: Access to this process for Venezuelans is free. Neither the supporter nor the beneficiary is required to pay the U.S. government a fee for the application. Beware of any scams or potential exploitation by anyone who asks for money associated with application to this process.

On Oct. 12, 2022, the United States announced a new process that allows Venezuelan nationals and their immediate family members to come to the United States. This provides a safe and orderly way for nationals of Venezuela who are outside the United States and lack U.S. entry documents to be considered, on a case-by-case basis, for advance authorization to travel and a temporary period of parole for up to 2 years for urgent humanitarian reasons and significant public benefit. To participate in this process, Venezuelan nationals must:

• Have a supporter in the United States;
• Undergo and clear robust security vetting;
• Meet other eligibility criteria; and
• Warrant a favorable exercise of discretion.

Individuals participating in the process must have a supporter in the United States who agrees to provide them with financial support for the duration of their parole in the United States.

The first step in the process is for the U.S.-based supporter to file a Form I-134, Declaration of Financial Support, with USCIS for each Venezuelan national or immediate family member they seek to support, including minor children. The U.S. government will then vet the supporter to ensure that they are able to financially support the Venezuelan nationals they are agreeing to support.

Term	Definition
Supporter	An individual who holds lawful status in the United States or is a parolee or beneficiary of deferred action or Deferred Enforced Departure (DED) who has passed security and background vetting and demonstrated sufficient financial resources to receive, maintain, and support the individuals whom they commit to supporting for the duration of their stay in the United States. Examples of individuals who meet the supporter requirement include: U.S. citizens and nationals; Lawful permanent residents, lawful temporary residents, and conditional permanent residents; Nonimmigrants in lawful status (who maintain their nonimmigrant status and have not violated any of the terms or conditions of their nonimmigrant status); Asylees, refugees, and parolees; Temporary Protected Status (TPS) holders; and Beneficiaries of deferred action (including deferred action for childhood arrivals) or DED.
Beneficiary	A Venezuelan national (or their immediate family member) who is outside the United States and who may be considered for parole under this process. Immediate family members in this process include: The spouse or common-law partner of a national of Venezuela; and Their unmarried child(ren) under the age of 21. NOTE: If a child is under 18, they must be traveling with a parent or legal guardian in order to use this process.

Who May be Considered for Advance Travel Authorization

To be considered for advance authorization to travel to the United States under this process, a beneficiary must:

• Be a national of Venezuela or be an immediate family member (spouse, common-law partner, or unmarried child under the age of 21) of an eligible Venezuelan and traveling with them;
• Possess a passport valid for international travel;
• Be outside the United States;
• Have a U.S.-based supporter who filed a Form I-134 on their behalf that USCIS has vetted and confirmed;
• Provide for their own commercial travel to a U.S. airport and final U.S. destination;
• Undergo and clear required screening and vetting;
• Not be a permanent resident or dual national of any country other than Venezuela, and not currently hold refugee status in any country;
  • This requirement does not apply to immediate family members (spouse, common-law partner, or unmarried child under the age of 21) of an eligible national of Venezuela who they are traveling with.
• Not be an unaccompanied child;
  • Children under the age of 18 must be traveling to the United States in the care and custody of their parent or legal guardian.
• Not have been ordered removed from the United States within the past 5 years or be subject to a bar based on a prior removal order;
• Not have crossed irregularly into the United States, between ports of entry, after Oct. 19, 2022;
• Not have unlawfully crossed the Mexican or Panamanian borders after Oct. 19, 2022; and
• Comply with all additional requirements, including vaccination requirements and other public health guidelines.

The supporter must complete and file Form I-134 with USCIS and be vetted by the U.S. government to protect against exploitation and abuse and to ensure that they are able to financially support the beneficiary they are agreeing to support.

Children under the age of 18 traveling without their parent or legal guardian are not eligible for advance authorization to travel or parole under this process. Upon arrival at a U.S. port of entry, a child who is not traveling with their parent or legal guardian may be transferred to the custody of the Department of Health and Human Services (HHS), as required by law under the Trafficking Victims Protection Reauthorization Act of 2008. For more information, please visit the HHS Unaccompanied Children webpage.

Since they are ineligible to pursue travel authorization under the process for Venezuelans, children who are not traveling with a parent or legal guardian but are coming to the United States to meet a parent or legal guardian may instead seek parole through the standard Form I-131 parole process. In the Form I-131 parole process, children who wish to travel without a parent or legal guardian will need written permission from all adults with legal custody of the child (including parents or legal guardians) to travel to the United States.

Evidence to accompany the Form I-131 will need to include the duration of the stay in the United States and evidence of relationship between the child and the parent or legal guardian in the United States. If the legal guardian is providing the written permission, the requestor must include proof of legal guardianship issued by a government authority. In addition, the application should include a statement about the relationship of the child to the person filing the Form I-131, and if they intend to provide care and custody of the child in the United States or reunite the child with a parent or legal guardian in the United States. For more information, please see our Humanitarian or Significant Public Benefit Parole page, which has information about the requirements for requesting parole for children.

You may request a fee waiver when submitting a Form I-131 for a child as described in the above paragraph. For more information on how to request a fee waiver, please see the Form I-912, Request for Fee Waiver, webpage.

IRS provides tax inflation adjustments for tax year 2023

 IRS provides tax inflation adjustments for tax year 2023

WASHINGTON — The Internal Revenue Service today announced the tax year 2023 annual inflation adjustments for more than 60 tax provisions, including the tax rate schedules and other tax changes. Revenue Procedure 2022-38 provides details about these annual adjustments.

New for 2023

The Inflation Reduction Act extended certain energy related tax breaks and indexed for inflation the energy efficient commercial buildings deduction beginning with tax year 2023. For tax year 2023, the applicable dollar value used to determine the maximum allowance of the deduction is $0.54 increased (but not above $1.07) by $0.02 for each percentage point by which the total annual energy and power costs for the building are certified to be reduced by a percentage greater than 25 percent. The applicable dollar value used to determine the increased deduction amount for certain property is $2.68 increased (but not above $5.36) by $0.11 for each percentage point by which the total annual energy and power costs for the building are certified to be reduced by a percentage greater than 25 percent.

Highlights of changes in Revenue Procedure 2021-38:

The tax year 2023 adjustments described below generally apply to tax returns filed in 2024.

The tax items for tax year 2023 of greatest interest to most taxpayers include the following dollar amounts:

• The standard deduction for married couples filing jointly for tax year 2023 rises to $27,700 up $1,800 from the prior year. For single taxpayers and married individuals filing separately, the standard deduction rises to $13,850 for 2023, up $900, and for heads of households, the standard deduction will be $20,800 for tax year 2023, up $1,400 from the amount for tax year 2022.
• Marginal Rates: For tax year 2023, the top tax rate remains 37% for individual single taxpayers with incomes greater than $578,125 ($693,750 for married couples filing jointly).

The other rates are:

35% for incomes over $231,250 ($462,500 for married couples filing jointly);
32% for incomes over $182,100 ($364,200 for married couples filing jointly);
24% for incomes over $95,375 ($190,750 for married couples filing jointly);
22% for incomes over $44,725 ($89,450 for married couples filing jointly);
12% for incomes over $11,000 ($22,000 for married couples filing jointly).

• The lowest rate is 10% for incomes of single individuals with incomes of $11,000 or less ($22,000 for married couples filing jointly).
• The Alternative Minimum Tax exemption amount for tax year 2023 is $81,300 and begins to phase out at $578,150 ($126,500 for married couples filing jointly for whom the exemption begins to phase out at $1,156,300). The 2022 exemption amount was $75,900 and began to phase out at $539,900 ($118,100 for married couples filing jointly for whom the exemption began to phase out at $1,079,800).
• The tax year 2023 maximum Earned Income Tax Credit amount is $7,430 for qualifying taxpayers who have three or more qualifying children, up from $6,935 for tax year 2022. The revenue procedure contains a table providing maximum EITC amount for other categories, income thresholds and phase-outs.
• For tax year 2023, the monthly limitation for the qualified transportation fringe benefit and the monthly limitation for qualified parking increases to $300, up $20 from the limit for 2022.
• For the taxable years beginning in 2023, the dollar limitation for employee salary reductions for contributions to health flexible spending arrangements increases to $3,050. For cafeteria plans that permit the carryover of unused amounts, the maximum carryover amount is $610, an increase of $40 from taxable years beginning in 2022.
• For tax year 2023, participants who have self-only coverage in a Medical Savings Account, the plan must have an annual deductible that is not less than $2,650, up $200 from tax year 2022; but not more than $3,950, an increase of $250 from tax year 2022. For self-only coverage, the maximum out-of-pocket expense amount is $5,300, up $350 from 2022. For tax year 2023, for family coverage, the annual deductible is not less than $5,300, up from $4,950 for 2022; however, the deductible cannot be more than $7,900, up $500 from the limit for tax year 2022. For family coverage, the out-of-pocket expense limit is $9,650 for tax year 2023, an increase of $600 from tax year 2022.
• For tax year 2023, the foreign earned income exclusion is $120,000 up from $112,000 for tax year 2022.
• Estates of decedents who die during 2023 have a basic exclusion amount of $12,920,000, up from a total of $12,060,000 for estates of decedents who died in 2022.
• The annual exclusion for gifts increases to $17,000 for calendar year 2023, up from $16,000 for calendar year 2021.
• The maximum credit allowed for adoptions for tax year 2023 is the amount of qualified adoption expenses up to $15,950, up from $14,890 for 2022

Items unaffected by indexing:
By statute, certain items that were indexed for inflation in the past are currently not adjusted.

• The personal exemption for tax year 2023 remains at 0, as it was for 2022, this elimination of the personal exemption was a provision in the Tax Cuts and Jobs Act.
• For 2023, as in 2022, 2021, 2020, 2019 and 2018, there is no limitation on itemized deductions, as that limitation was eliminated by the Tax Cuts and Jobs Act.
• The modified adjusted gross income amount used by joint filers to determine the reduction in the Lifetime Learning Credit provided in § 25A(d)(2) is not adjusted for inflation for taxable years beginning after December 31, 2020. The Lifetime Learning Credit is phased out for taxpayers with modified adjusted gross income in excess of $80,000 ($160,000 for joint returns).

Proveedores de servicios y otros pueden recibir formularios 1099-K por ventas mayores de $600 a principios de 2023

 Recordatorio: Proveedores de servicios y otros pueden recibir formularios 1099-K por ventas mayores de $600 a principios de 2023

WASHINGTON — El Servicio de Impuestos Internos les recuerda a contribuyentes que generan ingresos al vender bienes y/o proveer servicios que pueden recibir un Formulario 1099-K, Transacciones de tarjetas de pago y de redes de terceros, por transacciones de tarjetas de pago y transacciones de redes de terceros de más de $600 durante el año.

No hay cambio en lo que se considere sujeto a impuestos; el único cambio es a las reglas de presentación para el Formulario 1099-K. Al igual que anteriormente, ingresos, incluso aquellos derivados de trabajo de tiempo parcial, trabajos secundarios o la venta de bienes, están sujetos a impuestos. Contribuyentes deben reportar todo tipo de ingreso en sus declaraciones de impuestos a menos que lo excluya la ley, aún si reciben un Formulario 1099-NEC, Remuneración a personas que no son empleados; Formulario 1099-K u otro tipo de declaración de información.

El IRS resalta que dinero recibido a través de aplicaciones de pago de redes de terceros de amigos o familiares como un regalo personal o como reembolso de gastos personales no está sujeto a impuestos.

El Plan de Rescate Estadounidense de 2021 redujo el límite de información para las redes de terceros que procesan pagos para aquellos que realicen un negocio. Antes de 2022, el Formulario 1099-K se emitía para transacciones de redes de terceros si el número total de transacciones sobrepasaba 200 durante el transcurso del año y la cantidad total de estas transacciones sobrepasaba $20,000. Ahora se puede enviar un Formulario 1099-K por una sola transacción mayor de $600.

El límite de información más bajo y el resumen de ingresos en el Formulario 1099-K permite que los contribuyentes rastreen las cantidades recibidas más fácilmente.

Generalmente, mientras más precisa sea la información de los ingresos de los contribuyentes, más se reduce la necesidad y probabilidad de que se tenga que examinar en un futuro.

Considere hacer pagos de impuestos estimados

Los impuestos sobre los ingresos generalmente se deben pagar mientras el contribuyente gana o recibe ingresos durante el transcurso del año, sea por la retención de impuestos o al hacer pagos de impuestos estimados.

Si la cantidad de impuestos sobre los ingresos que se retienen del salario o pensión de una persona no es suficiente, o si recibe otros tipos de ingreso como intereses, dividendos, pensión conyugal, ingresos por trabajo por cuenta propia, ganancias de capital, premios o galardones, pueda ser que tenga que hacer pagos de impuestos estimados.

Si trabajan por cuenta propia, las personas generalmente deben hacer pagos de impuestos estimados. El impuesto estimado no solo se usa para pagar los impuestos sobre los ingresos, sino otros impuestos tales como los del trabajo por cuenta propia y el impuesto mínimo alternativo.

La Publicación 17 (SP), El Impuesto Federal sobre los Ingresos, provee reglas generales para ayudar a contribuyentes a pagar los impuestos sobre los ingresos adeudados.

Información adicional está disponible en el Capítulo 5, Ingresos del Negocio, de la Publicación 334 (SP), Guía Tributaria para Pequeños Negocios (Para Individuos que Usan el Anexo C), Publicación 525, Ingresos tributables y no tributables (en inglés) y en IRS.gov bajo Comprenda su Formulario 1099-K (en inglés).

El Formulario 1099-K, sus instrucciones y una lista de respuestas a preguntas a frecuentes (en inglés) están disponibles en IRS.gov.

Información importante para quienes consideran hacer retiros anticipados de fondos de jubilación

 Información importante para quienes consideran hacer retiros anticipados de fondos de jubilación

No importa cuánto planifique la gente, ocurren eventos inesperados. A menudo, esos eventos resultan en gastos no planificados. Para cubrir estos costos a veces las personas retiran fondos de sus ahorros para la jubilación anticipadamente. Mientras esto puede parecer una manera fácil de obtener dinero rápido, los retiros anticipados pueden conllevar fuertes multas y costosas consecuencias tributarias. Aquí hay información importante que las personas deben considerar antes de sumergirse en sus ahorros de jubilación ganados con tanto esfuerzo.

Planes de jubilación de trabajo: 401(k), 403(b) y 457(b)

Estos planes pueden distribuir beneficios solo cuando ocurren ciertos eventos. La descripción resumida del plan debe indicar claramente cuándo puede ocurrir una distribución. También indicará si el plan permite distribuciones por dificultades (en inglés), retiros anticipados o préstamos.

• Las distribuciones por dificultades económicas son retiros de la cuenta de un participante realizados debido a una gran necesidad financiera inmediata y se limita a la cantidad necesaria para satisfacer esa necesidad financiera. La necesidad del empleado incluye la necesidad del cónyuge o dependiente del empleado.
• Las distribuciones por dificultades económicas se incluyen en los ingresos brutos a menos que consistan en contribuciones Roth designadas.
• Las distribuciones antes de que el participante cumpla 65 años, o la edad normal de jubilación del plan, si es anterior, pueden resultar en un impuesto de ingreso adicional del 10% del monto retirado.
• No se permite pagar las distribuciones por dificultades económicas al plan o transferirlas a otro plan o IRA.
• Los prestatarios pagan los préstamos de estos planes a la cuenta de jubilación. Los prestatarios deben revisar los límites de los montos de los préstamos y otros requisitos (en inglés). Impuestos sobre este dinero no ocurren si el préstamo cumple con las reglas y el pago ocurre a tiempo.

Distribuciones mínimas requeridas

Los contribuyentes deben hacer distribuciones mínimas requeridas (RMD, por sus siglas en inglés) cada año a partir del año en que el contribuyente cumple 72 años, 70½ si el contribuyente cumplió 70½ años en 2019. Las personas calculan la RMD dividiendo el saldo de la cuenta IRA desde el 31 de diciembre del año anterior por el período de distribución aplicable o la expectativa de vida. RMD no se aplican para el 2020 debido a las disposiciones de alivio de COVID-19. Las distribuciones mínimas requeridas no son requeridas para Roth IRA.

IRA y planes basados en IRA

Las personas pueden tomar distribuciones de su IRA, SEP-IRA o IRA SIMPLE en cualquier momento. Los contribuyentes no necesitan mostrar una dificultad para tomar una distribución, solo pueden comunicarse con la institución financiera que administra la cuenta.

Las distribuciones prematuras ocurren cuando las personas retiran dinero de una IRA o plan de jubilación antes de los 59 años y medio. Estas distribuciones de planes de jubilación están sujetas al impuesto sobre el ingreso. Las personas también deben pagar un impuesto adicional de retiro anticipado del 10% a menos que se aplique una excepción al impuesto de distribución prematura (en inglés).

Independientemente de la edad, el titular de la cuenta debe presentar un Formulario 1040, Declaración de Impuestos de los Estados Unidos Sobre los Ingresos Personales, que muestre el monto del retiro y completar y adjuntar un Formulario 5329, Impuestos adicionales sobre planes calificados (incluyendo los IRA) y otras cuentas favorecidas para asuntos tributarios (en inglés), a la declaración de impuestos. Estos son requisitos para retiros prematuros y distribuciones regulares.

Distribuciones y préstamos relacionados con el coronavirus

La Ley CARES facilitó el acceso a ahorros en IRA y planes de jubilación de trabajo para los afectados por el coronavirus. Ciertas distribuciones realizadas desde el 1ro de enero de 2020 hasta el 30 de diciembre de 2020 de IRA o planes de jubilación de trabajo a personas calificadas pueden tratarse como distribuciones relacionadas con el coronavirus.

• Estas distribuciones no están sujetas al impuesto adicional del 10% sobre las distribuciones prematuras, incluido el impuesto adicional del 25% sobre ciertas distribuciones de IRA SIMPLE.
• Pagos de préstamos adeudados a una IRA o plan de jubilación de trabajo pueden ocurrir dentro de los tres años.

Los contribuyentes pueden incluir distribuciones relacionadas con el coronavirus en los ingresos durante 3 años, un tercio cada año o, si son elegidos, en el año de la distribución.

Distribuciones relacionadas con el divorcio

Las distribuciones prematuras tomadas de una IRA tradicional para satisfacer los requisitos de divorcio o una orden judicial (en inglés) están sujetas a los requisitos regulares del impuesto sobre el ingreso y al impuesto adicional del 10%, a menos que haya una excepción calificada.

Ahora que la solicitud de alivio de la deuda de préstamos estudiantiles está abierta, detecte las estafas

 La solicitud del Departamento de Educación (ED, por sus siglas en inglés) para el alivio de la deuda de préstamos estudiantiles federales ya está abierta. Por supuesto, los estafadores están en movimiento, tratando de obtener tu dinero e información personal. Afortunadamente, hay maneras de detenerlos, así que sigue leyendo para saber cómo protegerte mientras solicitas ayuda.

A medida que las personas presenten sus solicitudes, el ED las revisará. Ten paciencia y sigue el proceso... no a quienes dicen que te pueden poner al frente de la fila. Cualquiera que te diga eso es un estafador. Esto es lo que debes saber ahora mismo para mantenerte alejado de los estafadores:

• Aplica en StudentAid.gov/DebtRelief. En ningún otro lugar. En este momento, la solicitud solo está en línea y en inglés y español. Una solicitud en papel estará disponible más adelante.
• No pagues para aplicar. Es gratis. Cualquiera que diga que tienes que pagar es un estafador. Y si te garantizan la aprobación o el perdón más rápido es una estafa.
• Entérate de qué puedes compartir, dónde y cuándo. La aplicación real te pedirá tu nombre, fecha de nacimiento, número de Seguro Social, número de teléfono y dirección. Pero, cuando completas tu solicitud en línea, no tienes que adjuntar ningún documento.
• Entérate de qué no debes compartir. Cuando presentes la solicitud, nadie te pedirá tu FSA ID, cuenta bancaria o información de tarjeta de crédito. Cualquiera que lo haga es un estafador. (Estate atento para obtener más información cuando el ED comience a procesar las solicitudes. Algunas personas tendrán que verificar sus ingresos, pero aún no).
• Espera actualizaciones por correo electrónico de ED. Después de presentar la solicitud, es posible que tengas noticias del ED, para adjuntar documentos fiscales que verifican tus ingresos, o para ponerte al día sobre su solicitud. Esos correos electrónicos solo provendrán de noreply@studentaid.go, noreply@debtrelief.studentaid.go, or ed.gov@public.govdelivery.co.
•  Presta mucha atención a la dirección del remitente de los correos electrónicos sobre la cancelación de préstamos. Busca pequeños errores de ortografía o gramática para evitar los correos electrónicos falsos de un estafador.
• Sigue el proceso del ED si tu solicitud es denegada. Cualquiera que diga que puede conseguir que aprueben tu solicitud a cambie de dinero es un estafador. Si recibes una denegación por correo electrónico tendrá instrucciones. Síguelas y, si tiene preguntas, llama a la línea dedicada de la FSA al 1-833-932-3439. Ten paciencia, el tiempo de espera para hablar con alguien es largo.

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Apply for Student Loan Debt Relief >

Apply today (but no later than Dec. 31, 2023).

Filling out the application is easy and takes about 5 minutes. You don’t need to log in or provide any documents.

For those who can’t apply online, we’ll make a paper version of the form available soon. You’ll have until the end of 2023 to apply.

How Much Debt Relief You Can Get

• Up to $20,000 in debt relief if you received a Federal Pell Grant in college and meet the income requirements

• Up to $10,000 in debt relief if you didn’t receive a Federal Pell Grant in college and meet the income requirements

The debt relief applies only to loan balances you had before June 30, 2022. Any new loans disbursed on or after July 1, 2022, aren’t eligible for debt relief. Other rules apply to consolidation loans.

Will my debt relief be taxed?

What if I don’t want to receive debt relief?

See if You Qualify

You may receive debt relief if you have eligible federal loans and meet the following income requirements:

Tax Filing Status	2020 or 2021 Income (Based on AGI*)
Did not file taxes	Made less than the required income to file federal taxes
Single	Under $125,000
Married, filed your taxes separately	Under $125,000
Married, filed your taxes jointly	Under $250,000
Head of household	Under $250,000
Qualifying widow(er)	Under $250,000

*If you filed federal taxes, your income requirements are based on your adjusted gross income (AGI), which tends to be lower than your total income. Your AGI can be found on line 11 of the IRS Form 1040.

You need to meet the income criteria for either 2020 or 2021, but you don’t need to meet it for both years.

If you have eligible federal student loans and meet the income requirements, it doesn’t matter if you’ve been actively repaying your loans or are in school, a grace period, or default.

Recently Enrolled Undergraduate Students

Here are some reasons you likely would be classified as a dependent student for federal student aid purposes:

• You were enrolled as an undergraduate student between July 1, 2021, and June 30, 2022.

• You were born after Jan. 1, 1998.

• You aren’t married.

Learn about other reasons you might be classified as a dependent student.

As a dependent student, you’re eligible for the same amount of debt relief as everyone else, but your eligibility is based on one or both of your parents’ income, not your income.

You should apply for debt relief using your own income information. If we identify you as a dependent student, we’ll email you with instructions for you and your parent. Until then, you don’t need to do anything except submit your application.

Parents of Children With Eligible Student Loans

If you’re a parent with eligible loans of your own, including parent PLUS loans, you can submit your own Student Loan Debt Relief Application. Your application will be processed separately from the one your child submits.