[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4245 Introduced in House (IH)]







106th CONGRESS
  2d Session
                                H. R. 4245

To amend the Internal Revenue Code of 1986 to exclude from gross income 
 payments made under Federal Government programs for the repayment of 
 student loans of members of the Armed Forces of the United States and 
                   the National Health Service Corps.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 12, 2000

 Mr. Pitts (for himself, Mr. Ose, and Mrs. Chenoweth-Hage) introduced 
  the following bill; which was referred to the Committee on Ways and 
                                 Means

_______________________________________________________________________

                                 A BILL


 
To amend the Internal Revenue Code of 1986 to exclude from gross income 
 payments made under Federal Government programs for the repayment of 
 student loans of members of the Armed Forces of the United States and 
                   the National Health Service Corps.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Armed Services Educational Relief 
Act''.

SEC. 2. EXCLUSION FROM GROSS INCOME FOR DEPARTMENT OF DEFENSE PAYMENTS 
              ON STUDENT LOANS OF MEMBERS OF THE ARMED FORCES AND THE 
              NATIONAL HEALTH SERVICE CORPS.

    (a) In General.--Part III of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 (relating to items specifically excluded 
from gross income) is amended by redesignating section 139 as section 
139A and by inserting after section 138 the following new section:

``SEC. 139. CERTAIN PAYMENTS ON STUDENT LOANS OF MEMBERS OF ARMED 
              FORCES.

    ``Gross income shall not include any education loan repayment made 
by the Federal Government on behalf of a member of the Armed Forces of 
the United States.
    (b) Clerical Amendment.--The table of sections for such part III is 
amended by striking the last item and inserting the following new 
items:

                              ``Sec. 139. Certain payments on student 
                                        loans of members of Armed 
                                        Forces.
                              ``Sec. 139A. Cross references to other 
                                        Acts.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to payments in taxable years ending after the date of the 
enactment of this Act.
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