Education

There are several types and programs. In general, the private loan forgiveness is still taxable. I do see house bills in progress. 

PA DOR states:

Cancellation of Debt Incurred as Student Loans
If all or a portion of your student loans are paid for by a third party or cancelled, the payment or cancellation is taxable if it falls within one of Pennsylvania’s eight classes of taxable income. Cancellation of a student loan can also be taxable if the student provides services to the lender in exchange for the services. State and Federal programs exist that provide for the payment or cancellation of student loans when the student works for a period of time in a specific profession. Generally, such loan payments or cancellation are not subject to Pennsylvania personal income tax unless the student provides services directly to the payor or lender in exchange for the cancellation. For more information, refer to Personal Income Tax Bulletin 2009-02 – Cancellation of Personal Indebtedness [PDF](opens in a new ta....

Tax Forgiveness | Department of Revenue states: 

Will loan forgiveness apply to private student loans?

Unlike federal student loans, private loans are not covered by student loan forgiveness plans.

PA House states: For those who qualify under various federal programs, Pennsylvania law does not specifically exempt student loan forgiveness from the personal income tax.