[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5044 Introduced in House (IH)]

112th CONGRESS
  2d Session
                                H. R. 5044

To amend the Internal Revenue Code of 1986 to exclude from gross income 
  any discharge of indebtedness income on education loans of deceased 
                               veterans.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 27, 2012

 Mr. DesJarlais (for himself, Mr. Roe of Tennessee, Mr. West, Mr. Walz 
  of Minnesota, Mrs. Blackburn, Mr. Cooper, Mr. Hunter, Mr. Duncan of 
  Tennessee, Mr. Fincher, Mr. Kline, Mr. Fleischmann, Mr. McKeon, and 
 Mrs. Black) 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 
  any discharge of indebtedness income on education loans of deceased 
                               veterans.

    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 ``Andrew P. Carpenter Tax Act''.

SEC. 2. DISCHARGE OF INDEBTEDNESS INCOME ON EDUCATION LOANS OF DECEASED 
              VETERANS.

    (a) In General.--Subsection (f) of section 108 of the Internal 
Revenue Code of 1986 is amended by adding at the end the following new 
paragraph:
            ``(5) Deceased veterans.--
                    ``(A) In general.--In the case of an individual, 
                gross income shall not include any amount which (but 
                for this paragraph) would be includible in gross income 
                by reason of the discharge (in whole or in part) of any 
                student loan described in subparagraph (B) if, at the 
                time of such discharge, such individual is a veteran 
                who served on active duty in the Armed Forces of the 
                United States, and is deceased as a result of a 
                service-connected disability.
                    ``(B) Student loan described.--For purposes of 
                subparagraph (A), a student loan described in this 
                subparagraph is a loan that--
                            ``(i) is made, insured, or guaranteed under 
                        title IV of the Higher Education Act of 1965, 
                        or
                            ``(ii) is a private education loan (as 
                        defined in section 140(a)(7) of the Truth in 
                        Lending Act (15 U.S.C. 1650(a)(7))), made by an 
                        entity (other than an entity described in 
                        paragraph (2)) to an individual to assist the 
                        individual in attending an educational 
                        organization described in section 
                        170(b)(1)(A)(ii).
                    ``(C) Service-connected disability.--For purposes 
                of subparagraph (A), the term `service-connected 
                disability' has the meaning given such term by section 
                101(16) of title 38, United States Code.''.
    (b) Effective Date.--The amendments made by this section shall 
apply to discharges of indebtedness occurring on or after October 7, 
2001.
    (c) Waiver of Limitation for Credits and Refunds Attributable to 
This Act.--If the credit or refund of any overpayment of tax resulting 
from the application of the amendment made by subsection (a) to a 
period before the date of enactment of this Act is prevented as of such 
date by the operation of any law or rule of law (including res 
judicata), such credit or refund may nevertheless be allowed or made if 
the claim therefor is filed before the close of the 1-year period 
beginning on the date of the enactment of this Act.
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