The Bipartisan Budget Act of 2018 (BBA), signed into law on February 9, extends for one year a set of tax provisions, known as "extenders," that expired December 31, 2016. Key provisions that have been extended include: Exclusion Of Discharge Of Mortgage Debt The BBA extends homeowners' ability to exclude from gross income mortgage debt on a principal residence that was forgiven in 2017 (for example, as a result of a foreclosure, short sale or loan modification). It also modifies the exclusion to make it apply to debt discharged later than 2017 but according to a written agreement that was entered into in 2017. Without the extended provision, taxpayers would have to pay income taxes on the amount of mortgage debt forgiven.