I 
115TH CONGRESS 
2D SESSION 
H. R. 6921 
To amend the Internal Revenue Code of 1986 to increase the deduction 
allowed for student loan interest and to exclude from gross income 
discharges of income contingent or income-based student loan indebted-
ness. 
IN THE HOUSE OF REPRESENTATIVES 
SEPTEMBER 26, 2018 
Miss RICE of New York introduced the following bill; which was referred to 
the Committee on Ways and Means, and in addition to the Committee 
on Education and the Workforce, for a period to be subsequently deter-
mined by the Speaker, in each case for consideration of such provisions 
as fall within the jurisdiction of the committee concerned 
A BILL 
To amend the Internal Revenue Code of 1986 to increase 
the deduction allowed for student loan interest and to 
exclude from gross income discharges of income contin-
gent or income-based student loan indebtedness. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Students and Families 
Empowerment Act’’. 
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SEC. 2. INCREASE IN DEDUCTION FOR STUDENT LOAN IN-
TEREST. 
(a) DOLLAR LIMITATION AND LIMITATION BASED ON 
INCOME REPLACED WITH LIMITATION ON AGGREGATE 
EDUCATION INDEBTEDNESS THAT MAY BE TAKEN INTO 
ACCOUNT.—Section 221(b) of the Internal Revenue Code 
of 1986 is amended to read as follows: 
‘‘(b) LIMITATION ON AGGREGATE EDUCATION IN-
DEBTEDNESS THAT MAY BE TAKEN INTO ACCOUNT.— 
The aggregate amount taken into account under sub-
section (a) as qualified education loans for any period shall 
not exceed $750,000 (twice such amount in the case of 
a joint return).’’. 
(b) CONFORMING AMENDMENTS.—Section 221 of 
such Code is amended by striking subsections (e) and (f) 
(relating to special rules and inflation adjustments, re-
spectively) and inserting the following new subsection: 
‘‘(e) DENIAL OF DOUBLE BENEFIT.—No deduction 
shall be allowed under this section for any amount for 
which a deduction is allowable under any other provision 
of this chapter.’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
the date of the enactment of this Act. 
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SEC. 3. EXCLUSION FROM GROSS INCOME FOR DISCHARGE 
OF 
INCOME 
CONTINGENT 
AND 
INCOME- 
BASED STUDENT LOAN INDEBTEDNESS. 
(a) IN GENERAL.—Paragraph (1) of section 108(f) 
of the Internal Revenue Code of 1986 is amended to read 
as follows: 
‘‘(1) IN
GENERAL.—In the case of an indi-
vidual, gross income does not include any amount 
which (but for this subsection) would be includible in 
gross income by reason of the discharge (in whole or 
in part) of any student loan if such discharge was 
pursuant to— 
‘‘(A) a provision of such loan under which 
all or part of the indebtedness of the individual 
would be discharged if the individual worked for 
a certain period of time in certain professions 
for any of a broad class of employers, or 
‘‘(B) subsections (d)(1)(D) and (e)(7) of 
section 455 or section 493C(b)(7) of the Higher 
Education Act of 1965 (relating to income con-
tingent and income-based repayment, respec-
tively).’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply to discharges of indebtedness after 
the date of the enactment of this Act. 
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