Rep. Kind Passes Bill to Provide Tax Relief for Deceased and Disabled Student's Loans

Statement

U.S. Rep. Ron Kind's bipartisan bill to stop taxing student loan repayments for deceased or disabled borrowers and their families passed the House Ways & Means Committee. The bill now goes to the House floor for a full vote in the coming weeks.

"The last thing our permanently disabled students or the parents of deceased students need to be concerned about is paying taxes on money they received from the government to repay student loans. This is the right thing to do, and with the passage of my legislation today we are closer to making sure that Wisconsin students and families are not left with an unfair tax bill at the end of the year," said Rep. Kind.

The Stop Taxing Death and Disability Act will make sure that an individual's gross income does not include any amounts of debt discharged as a result of a student's death or total and permanent disability. This exception would apply even if a parent of the deceased or disabled student received the loan on behalf of the student.

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