Student Loan Interest Tax Deduction Expansion Act

Bill: 115-hr-3573
Sponsor: full_name: Rep. Cicilline, David N. [D-RI-1]
Introduced: 2017-07-28
Policy area: Taxation
Subjects: Higher education

Income tax deductions

Interest, dividends, interest rates

Student aid and college costs
Latest action: action_date: 2017-07-28
text: Referred to the House Committee on Ways and Means.

Summaries:
action_date: 2017-07-28
action_desc: Introduced in House
text: <p><b>Student Loan Interest Tax Deduction Expansion Act </b></p> <p>This bill amends the Internal Revenue Code, with respect to the tax deduction for interest on qualified education loans, to increase: (1) the dollar limitation on the deduction to $7,500 ($15,000 in the case of a joint return); and (2) the limitation on modified adjusted gross income to $100,000 ($200,000 in the case of a joint return). </p>

tv_txt: I 115th CONGRESS 1st Session H. R. 3573 IN THE HOUSE OF REPRESENTATIVES July 28, 2017 Mr. Cicilline (for himself, Mr. Brendan F. Boyle of Pennsylvania , Mr. Evans , Mr. Kilmer , Mr. Nolan , and Ms. Wilson of Florida ) 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 deduction allowed for student loan interest and the limitation based on income, and for other purposes.

1. Short title This Act may be cited as the Student Loan Interest Tax Deduction Expansion Act . 2. Increase in dollar limitation and income limitation on student loan interest deduction (a) Increase in dollar limitation on student loan interest deduction Paragraph (1) of section 221(b) of the Internal Revenue Code of 1986 is amended by striking $2,500 and inserting $7,500 ($15,000 in the case of a joint return) . (b) Increase in income limitation on student loan interest deduction Paragraph (2) of section 221(b) of such Code is amended to read as follows: (2) Limitation based on modified adjusted gross income (A) In general No deduction shall be allowed under subsection (a) to a taxpayer with a modified adjusted gross income over $100,000 ($200,000 in the case of a joint return). (B) Modified adjusted gross income The term modified adjusted gross income means adjusted gross income determined— (i) without regard to this section and sections 199, 222, 911, 931, and 933, and (ii) after application of sections 86, 135, 137, 219, and 469. . (c) Conforming amendment Paragraph (1) of section 221(f) of such Code is amended to read as follows: (1) In general In the case of a taxable year beginning after 2018, the $100,000 and $200,000 amounts in subsection (b)(2) shall each be increased by an amount equal to— (A) such dollar amount, multiplied by (B) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting calendar year 2017 for calendar year 1992 in subparagraph (B) thereof. . (d) Effective date The amendments made by this section shall apply to taxable years ending after December 31, 2017.