; or (2) if a borrower fails to notify the Secretary of the borrower’s desire for a refund of such amount within such 90-day period, apply such amount as a prepayment to the borrower’s loans made under this part in the same manner as a prepayment authorized under subsection (e) . (h) Employer failure To withhold payments In the case of a borrower whose employer fails to withhold amounts under section 499D(b)(2) upon any wages earned by the borrower that are subject to Federal income tax withholding and with respect to which the borrower made an election to have amounts withheld under section 499(b)(2), the Secretary shall— (1) reduce the borrower’s annual repayment to an amount equal to the borrower’s annual repayment amount had wages from such employer been excluded when calculating the borrower's annual repayment amount; and (2) reduce any penalties for underpayments calculated under subsection (f)(1) and refund any overpayments on such annual repayment amount, accordingly. . 4. Conforming changes to the Higher Education Act of 1965 (a) Loan forgiveness and cancellation for teachers (1) Loan forgiveness for teachers Section 428J of the Higher Education Act of 1965 ( 20 U.S.C. 1078–10 ) is amended— (A) in subsection (b), by inserting or for an IDEA loan made under part J, after or 428H, ; and (B) in subsection (c)— (i) in paragraph (1), by inserting or an IDEA loan made under part J after or 428H ; or (ii) in paragraph (2)— (I) by striking A loan and inserting the following: (A) Loans made under section 428C A loan