[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 856 Introduced in House (IH)]







106th CONGRESS
  1st Session
                                H. R. 856

 To amend the Internal Revenue Code of 1986 to increase the deduction 
                allowed for interest on education loans.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           February 25, 1999

 Mr. Campbell 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 increase the deduction 
                allowed for interest on education loans.

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

SECTION 1. INCREASE IN DEDUCTION ALLOWED FOR INTEREST ON EDUCATION 
              LOANS.

    (a) In General.--The table contained in paragraph (1) of section 
221(b) of the Internal Revenue Code of 1986 (relating to general rule 
for maximum deduction) is amended to read as follows:

        ``In the case of taxable years
                                                             The dollar
          beginning in:
                                                             amount is:
                  1999...............................           $2,000 
                  2000...............................           $3,000 
                  2001...............................           $4,000 
                  2002 or thereafter.................        $5,000.''.
    (b) Revenue Offset.--
            (1) Modification of rates of corporate tax.--The Secretary 
        of the Treasury shall prescribe rates of tax under section 11 
        of the Internal Revenue Code of 1986 (relating to tax imposed 
        on corporations) which result in a net increase in revenues for 
        a taxable year equal to the net decrease in revenues for that 
        year as a result of the amendment made by subsection (a).
            (2) Estimates and subsequent adjustments.--The rates of tax 
        prescribed under paragraph (1) shall be determined on the basis 
        of estimates made by the Secretary of the Treasury. Adjustments 
        shall be made in such rates for succeeding taxable years to the 
        extent prior estimates resulted in revenues which were in 
        excess of or less than the revenues required under paragraph 
        (1).
    (c) Effective Date.--The amendment made by this section shall apply 
to interest due and paid after  December 31, 1998.
                                 <all>