[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 928 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 928

   To amend the Internal Revenue Code of 1986 to increase the income 
 limitation applicable to heads of household for purposes of the Hope 
 and Lifetime Learning credits and the interest deduction on education 
                                 loans.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 7, 2001

  Ms. Rivers 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 income 
 limitation applicable to heads of household for purposes of the Hope 
 and Lifetime Learning credits and the interest deduction 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 INCOME LIMITATION APPLICABLE TO HEADS OF 
              HOUSEHOLD FOR PURPOSES OF THE HOPE AND LIFETIME LEARNING 
              CREDITS AND INTEREST DEDUCTION ON EDUCATION LOANS.

    (a) Hope and Lifetime Learning Credits.--
            (1) Increase in limits.--Paragraph (2) of section 25A(d) of 
        the Internal Revenue Code of 1986 is amended--
                    (A) in subparagraph (A)(ii) by inserting ``and 
                $60,000 in the case of a head of household'' after 
                ``joint return'', and
                    (B) in subparagraph (B) by inserting ``and $15,000 
                in the case of a head of household'' after ``joint 
                return''.
            (2) Adjustment for inflation.--Subparagraph (A) of section 
        25A(h)(2) of such Code is amended by inserting ``, $60,000,'' 
        after ``$40,000''.
    (b) Interest on Education Loans.--
            (1) Increase in limits.--Clause (II) of section 
        221(b)(2)(B)(i) of such Code is amended by inserting ``and 
        $50,000 in the case of a head of household'' after ``joint 
        return''.
            (2) Adjustment for inflation.--Paragraph (1) of section 
        221(g) of such Code is amended by inserting ``, $50,000,'' 
        after ``$40,000''.
    (c) Effective Dates.--
            (1) Hope and lifetime learning credits.--The amendments 
        made by subsection (a) shall apply to expenses paid after 
        December 31, 2000 (in tax years ending after such date), for 
        education furnished in academic periods beginning after such 
        date.
            (2) Interest on education loans.--The amendments made by 
        subsection (b) shall apply to interest payments due and paid 
        after December 31, 2000, on any qualified education loan.
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