Question

After completing medical school, Dr. Johnson had $200,000 in student loan debt. He fulfilled an obligation as part of his student loan contract to work as a doctor for four years on an Indian reservation. At the end of the four years, all his student loan debt was canceled. Dr. Johnson will need to report what amount of income on his tax return in the year the debt was forgiven

Answer 1

200,000

Step-by-step explanation:

As he has repaid the loan amount of 200,000 he has earned 200,000 so he has to show 200,000 as income.