After reviewing THIS information from Indiana, it seems that what makes ITT different is when the school was placed on the list used for federal returns. Indiana "coupling" with federal tax law is static meaning that it's coupled at a given point in time and any changes to federal tax law have to be reviewed by your state legislature before the changes are adopted by Indiana. Although, it could potentially be because the school had its headquarters within the state in Carmel, Indiana (but I am just guessing that this could be a connection.)
In any case, you will need to wait for Indiana to include your school before you can assume that the discharge of your debt is free from state tax. Watching and waiting may pay off in the form of not having to include the income without having to amend your return at a later date.
@gudgel89
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
