[Congressional Record Volume 152, Number 16 (Friday, February 10, 2006)]
[Senate]
[Page S1072]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. COLEMAN (for himself and Mr. Johnson):
  S. 2272. A bill to amend the Internal Revenue Code of 1986 to 
increase the deduction for host families of foreign exchange and other 
students from $50 per month to $200 per month; to the Committee on 
Finance.
  Mr. COLEMAN. Mr. President, I come to the floor today to introduce 
legislation with my colleague from South Dakota, Senator Johnson, that 
will help ease the financial burden for American families who open 
their homes to foreign exchange students from around the world, and 
offer an incentive to additional families to get involved in 
international exchanges.
  Every year, approximately 30,000 American families host exchange 
students from all over the world. This exchange experience provides the 
families, their communities, the students and their schools with a 
unique educational opportunity to increase cultural awareness and 
understanding. And it often produces lifelong friendship as well.
  Exchange programs are vital in today's interconnected world to build 
bridges of understanding. Youth exchange is particularly critical as it 
allows young people the opportunity to gain exposure to American 
families, culture and values early in their lives. Participants take 
home an understanding and often an appreciation for America's people, 
society and values.
  At her confirmation hearing before the Senate Foreign Relations 
Committee early last year, Secretary of State Condoleezza Rice 
declared, ``I am a big proponent of student exchanges. It is the best 
policy we can have.'' She explained that, ``the presence of foreign 
students'' is ``one of the best things'' for American students; the 
experience ``changes the way we think about people, and the way they 
think about us'', and she called student exchange ``invaluable.''
  We could not agree with her more. The legislation we introduce today 
will encourage more American families to participate in exchanges by 
increasing the monthly tax deduction for host families from $50 to $200 
per month. The current $50 tax deduction has been in place since it was 
first introduced in the 1960s. It has never been increased to allow for 
inflation or to reflect the increasing costs associated with hosting a 
student. Our legislation will increase the monthly deduction with an 
annual adjustment for inflation.
  While the increase is certainly not enough cover the expenses 
involved in feeding and housing a teenager, it will offer needed cost 
relief to American families, and most importantly, it will send a 
strong message to these families that our Nation values their 
contribution to increasing international understanding.
  I hope that my Senate colleagues will join Senator Johnson and me in 
supporting this legislation.
  I ask unanimous consent that the text of the bill be printed in the 
Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 2272

       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 ``Youth Exchange Support Act 
     of 2006''.

     SEC. 2. INCREASE IN CHARITABLE DEDUCTION FOR AMOUNTS PAID TO 
                   MAINTAIN CERTAIN STUDENTS AS MEMBERS OF 
                   TAXPAYER'S HOUSEHOLD.

       (a) In General.--Subparagraph (A) of section 170(g)(2) of 
     the Internal Revenue Code of 1986 (relating to amounts paid 
     to maintain certain students as members of taxpayer's 
     household) is amended by striking ``$50'' and inserting 
     ``$200''.
       (b) Adjustment for Inflation.--Section 170(g) of such Code 
     is amended by adding at the end the following new paragraph:
       ``(5) Adjustment for inflation.--
       ``(A) In general.--In the case of any taxable year 
     beginning in a calendar year after 2006, the $200 amount 
     contained in paragraph (2)(A) shall be increased by an amount 
     equal to--
       ``(i) $200, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar year in which the taxable 
     year begins by substituting `calendar year 2005' for 
     `calendar year 1992' in subparagraph (B) thereof.
       ``(B) Rounding.--If any increase determined under paragraph 
     (1) is not a multiple of $10, such increase shall be rounded 
     to the next highest multiple of $10.''.
       (c) Effective Date.--The amendments made by this Act shall 
     apply to taxable years beginning after December 31, 2005.
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