Bill > S772

This bill amends the Internal Revenue Code of 1986 to make permanent a tax exclusion for employer payments of student loans under educational assistance programs. Currently, this tax benefit was set to expire on January 1, 2026, but the bill removes that expiration date, which means employers can continue to provide tax-free student loan repayment assistance to employees indefinitely. Specifically, the bill strikes the language limiting the tax exclusion to payments made before January 1, 2026, effectively making the existing provision permanent. The amendment would apply to payments made after the date the bill is enacted. This change could provide long-term financial relief for employees by allowing them to receive student loan repayment assistance from their employers without incurring additional tax liability, which may help address the growing student debt challenge in the United States.

Budget and Finance

https://www.congress.gov/bill/119th-congress/senate-bill/772/all-info