,i  #aacth ,,congress  #b;d ,session    
,h4 ,r4 #efcg  ,,in ,,the ,,house ,,of  
,,representatives  ,september #ah1 #bjad
 ,mr4 ,peters of ,california 7for       
himself and ,mr4 ,vargas7 introduced the
 following bill2 which was referred to  
the ,committee on ,ways and ,means  ,a  
,,bill  ,to amend the ,internal ,revenue
 ,code of #aihf to provide an exclusion 
from gross income for discharge of      
consumer indebtedness4  #a4 ,short title
 ,this ,act may be cited as the         
,consumer ,debt ,forgiveness ,tax       
,relief ,act of #bjad4  #b4 ,exclusion  
from gross income for discharge of      
consumer indebtedness  7a7 ,in general  
,paragraph 7#a7 of section #ajh7;a7 of  
the ,internal ,revenue ,code of #aihf is
 amended by striking or at the end of   
subparagraph 7,d71 by striking the      
period at the end of subparagraph 7,e7  
and inserting 1 or1 and by adding at the
 end the following3  7,f7 the           
indebtedness discharged is qualified    
consumer indebtedness4  4  7b7 ,special 

rules relating to qualified consumer    
indebtedness ,section #ajh of the       
,internal ,revenue ,code of #aihf is    
amended by adding at the end the        
following3  7j7 ,special rules relating 
to qualified consumer indebtedness  7#a7
 ,qualified consumer indebtedness       
defined ,for purposes of this section1  
the term qualified consumer indebtedness
 means any indebtedness of a natural    
person arising out of a transaction in  
which the money1 property1 or services  
which are the subject of the transaction
 are primarily for personal1 family1 or 
household purposes4  7#b7 ,overall      
limitation ,the aggregate amount of     
discharged indebtedness treated as      
qualified consumer indebtedness for the 
taxable year shall not exceed the excess
 7if any7 of--  7,a7 #b1ejj1 over  7,b7 
the aggregate amounts treated as        
qualified consumer indebtedness with    
respect to such taxpayer for all prior  
taxable years4  4  7c7 ,effective date  
,the amendments made by this section    

shall apply to indebtedness discharged  
after the date of the enactment of this 
,act4