,i  #aaith ,,congress  #b;d ,session    
,h4 ,r4 #gecf  ,,in ,,the ,,house ,,of  
,,representatives  ,february #ab1       
#bjbf,mr4 ,goldman of ,new ,york 7for   
himself1 ,ms4 ,jacobs1 ,mr4 ,garcia of  
,california1 ,ms4 ,norton1 ,mr4         
,figures1 and ,ms4 ,pingree7 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 expand the   
deduction for student loan interest to  
include payments toward principal1 and  
to increase the value of the deduction4 
#a4 ,short title ,this ,act may be cited
 as the ,generating ,relief for         
,academic ,debt ,using ,assisted ,tax   
,efficiency ,act or the ,,graduate ,act4
  #b4 ,education loan deduction  7a7 ,in
 general ,section #bba of the ,internal 
,revenue ,code of #aihf is amended--    
7#a7 in the heading1 by striking        
,interest on education loans and        
inserting ,education loans1  7#b7 by    
amending subsection 7a7 to read as      

follows3  7a7 ,allowance of deduction   
,in the case of an individual1 there    
shall be allowed as a deduction for the 
taxable year an amount equal to the     
amounts paid by the taxpayer during the 
taxable year on any qualified education 
loan4  1  7#c7 by amending subsection   
7b7 to read as follows3  7b7 ,maximum   
deduction  7#a7 ,in general ,except as  
provided in paragraph 7#b71 the         
deduction allowed by subsection 7a7 for 
the taxable year shall not exceed an    
amount equal to the sum of-- 7,a7       
#aj1jjj1 plus  7,b7 #ejj multiplied by  
the number of dependents of the taxpayer
 for such taxable year4  7#b7           
,limitation based on modified adjusted  
gross income  7,a7 ,in general ,the     
amount which would 7but for this        
paragraph7 be allowable as a deduction  
under this section shall be reduced 7but
 not below zero7 by the amount          
determined under subparagraph 7,b74     
7,b7 ,amount of reduction ,the amount   
determined under this subparagraph is   

the amount which bears the same ratio to
 the amount which would be so taken into
 account as-- 7i7 the excess of--  7,i7 
the taxpayer's modified adjusted gross  
income for such taxable year1 over      
7,,ii7 #abe1jjj 7#bej1jjj in the case of
 a joint return71 bears to  7ii7 #be1jjj
 7#ej1jjj in the case of a joint        
return74  7,c7 ,modified adjusted gross 
income ,the term modified adjusted gross
 income means adjusted gross income     
determined--  7i7 without regard to this
 section and sections #he7;c71 #iaa1    
#ica1 and #icc1 and  7ii7 after         
application of sections #hf1 #ace1 #acg1
 #bai1 and #dfi4  1 and  7#d7 in        
subsection 7f77#a7-- 7,a7 by striking   
after #bjjb and inserting after #bjbf1  
7,b7 by striking #ej1jjj and #ajj1jjj   
and inserting #abe1jjj and #bej1jjj1 and
  7,c7 in subparagraph 7,b71 by striking
 calendar year #bjja and inserting      
calendar year #bjbe4  7b7 ,conforming   
amendment ,section #fb7;a77#ag7 of such 
,code is amended to read as follows3    

7#ag7 ,education loan payments ,the     
deduction allowed by section #bba4  4   
7c7 ,effective date ,the amendment made 
by this section shall apply to taxable  
years beginning after ,december #ca1    
#bjbe4