,i  #aaeth ,,congress  #b;d ,session    
,h4 ,r4 #fiba  ,,in ,,the ,,house ,,of  
,,representatives  ,september #bf1      
#bjah,miss ,rice of ,new ,york          
introduced the following bill2 which was
 referred to the ,committee on ,ways and
 ,means1 and in addition to the         
,committee on ,education and the        
,workforce1 for a period to be          
subsequently determined by the ,speaker1
 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 #aihf to increase the 
deduction allowed for student loan      
interest and to exclude from gross      
income discharges of income contingent  
or income-based student loan            
indebtedness4  #a4 ,short title ,this   
,act may be cited as the ,students and  
,families ,empowerment ,act4  #b4       
,increase in deduction for student loan 
interest  7a7 ,dollar limitation and    
limitation based on income replaced with

 limitation on aggregate education      
indebtedness that may be taken into     
account ,section #bba7;b7 of the        
,internal ,revenue ,code of #aihf is    
amended to read as follows3  7b7        
,limitation on aggregate education      
indebtedness that may be taken into     
account ,the aggregate amount taken into
 account under subsection 7a7 as        
qualified education loans for any period
 shall not exceed #gej1jjj 7twice such  
amount in the case of a joint return74  
4  7b7 ,conforming amendments ,section  
#bba of such ,code is amended by        
striking subsections 7e7 and 7f7        
7relating to special rules and inflation
 adjustments1 respectively7 and         
inserting the following new subsection3 
7e7 ,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 chapter4  4  7c7      
,effective date ,the amendments made by 
this section shall apply to taxable     

years beginning after the date of the   
enactment of this ,act4  #c4 ,exclusion 
from gross income for discharge of      
income contingent and income-based      
student loan indebtedness  7a7 ,in      
general ,paragraph 7#a7 of section      
#ajh7;f7 of the ,internal ,revenue ,code
 of #aihf is amended to read as follows3
  7#a7 ,in general ,in the case of an   
individual1 gross income does not       
include any amount which 7but for this  
subsection7 would be includible in gross
 income by reason of the discharge 7in  
whole or in part7 of any student loan if
 such discharge was pursuant to--  7,a7 
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 employers1 or  7,b7 
subsections 7d77#a77;,d7 and 7e77#g7 of 
section #dee or section #dic;,c7b77#g7  
of the ,higher ,education ,act of #aife 
7relating to income contingent and      

income-based repayment1 respectively74  
4  7b7 ,effective date ,the amendments  
made by this section shall apply to     
discharges of indebtedness after the    
date of the enactment of this ,act4  #d4
 ,grace period extension  7a7 ,in       
general ,section #dee of the ,higher    
,education ,act of #aife 7#bj ,u4,s4,c4 
#ajhg;e7 is amended by adding at the end
 the following3  7r7 ,grace period      
extension  7#a7 ,in general ,with       
respect to the ,federal ,direct         
,stafford ,loans and ,federal ,direct   
,unsubsidized ,stafford ,loans1 section 
#dhg7;b77#g7 shall be applied--  7,a7 in
 subparagraph 7,a71 by substituting #ab 
months for #f months2 and  7,b7 in      
subparagraph 7,d71 by substituting      
#ab-month period for #f-month period4   
7#b7 ,no accrual of interest            
,notwithstanding any other provision of 
this part1 interest shall not accrue on 
a ,federal ,direct ,unsubsidized        
,stafford ,loan during the #ab-month    
period described in paragraph 7#a74  7s7

 ,extension of certain deferment period 
for ,federal ,direct ,,plus ,loans  7#a7
 ,in general ,with respect to ,federal  
,direct ,,plus ,loans1 section          
#dbh;,b7d77#a77;,b7 shall be applied--  
7,a7 in the case of a parent borrower1  
in clause 7i71 by substituting #ab-month
 period for #f-month period2 and  7,b7  
in the case of a graduate or            
professional student borrower1 in clause
 7ii71 by substituting #ab-month period 
for #f-month period4  7#b7 ,no accrual  
of interest ,notwithstanding any other  
provision of this part1 interest shall  
not accrue on a ,federal ,direct ,,plus 
,loan during the #ab-month period       
described in paragraph 7#a74  4  7b7    
,effective date and application ,the    
amendments made by this section shall   
take effect on the date of enactment of 
this ,act1 and shall apply with respect 
to--  7#a7 ,federal ,direct ,stafford   
,loans1 ,federal ,direct ,unsubsidized  
,stafford ,loans1 and ,federal ,direct  
,,plus ,loans made on or after the date 

of enactment of this ,act2 and  7#b7    
,federal ,direct ,stafford ,loans1      
,federal ,direct ,unsubsidized ,stafford
 ,loans1 and ,federal ,direct ,,plus    
,loans made before such date of         
enactment to borrowers who have not yet 
entered repayment on such loans on such 
date of enactment4