[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[S. 3008 Introduced in Senate (IS)]

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114th CONGRESS
  2d Session
                                S. 3008

To amend the Internal Revenue Code of 1986 to exclude from gross income 
            certain discharges of student loan indebtedness.


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                   IN THE SENATE OF THE UNITED STATES

                              May 26, 2016

  Ms. Stabenow (for herself, Mrs. Shaheen, Mr. Reed, Ms. Baldwin, Mr. 
  Coons, Mr. Peters, Mrs. Feinstein, and Mr. Merkley) introduced the 
 following bill; which was read twice and referred to the Committee on 
                                Finance

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                                 A BILL


 
To amend the Internal Revenue Code of 1986 to exclude from gross income 
            certain discharges of student loan indebtedness.

    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 ``Student Tax Relief Act''.

SEC. 2. EXCLUSION FROM GROSS INCOME OF DISCHARGES OF STUDENT LOAN 
              INDEBTEDNESS.

    (a) In General.--Section 108(f) of the Internal Revenue Code of 
1986 is amended by adding at the end the following new paragraph:
            ``(5) Discharges in connection with student loan 
        indebtedness.--Gross income shall not include--
                    ``(A) any amount of a student loan discharged in 
                whole or in part by reason of a defense asserted 
                pursuant to section 455(h) of the Higher Education Act 
                of 1965 (20 U.S.C. 1087e(h)), or
                    ``(B) any amount which (but for this subparagraph) 
                would be includible in gross income by reason of the 
                discharge (in whole or in part) of a loan to assist the 
                attendance at an institution of higher learning if such 
                discharge was pursuant to an agreement with the 
                Consumer Financial Protection Bureau or any other 
                Federal agency in connection with the closure (or other 
                agency action) relating to such institution or 
                successor institution.''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply with respect to any forgiveness of indebtedness after June 12, 
2014.
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