Bill > HR7157

This bill, titled the "Supporting Teachers Through Tax Fairness Act," proposes to amend the Internal Revenue Code of 1986 to create a new tax exclusion for wages earned by K-12 public school teachers. Specifically, it would allow eligible educators to exclude up to $50,000 of their wages from their gross income, meaning this portion of their earnings would not be subject to federal income tax. An "eligible educator" is defined as someone who works at least 900 hours during a school year as a teacher, instructor, counselor, or aide in a public elementary or secondary school, which includes charter schools and those funded at public expense. The bill also includes provisions for an increased exclusion of up to $65,000 for eligible educators who work in schools where at least 75% of students qualify for free or reduced-cost lunches, or who work in rural areas, or who teach special education or subjects in science, technology, engineering, or mathematics (STEM). The term "wages" refers to all payment for services as an employee that is normally included in gross income. This change would take effect for taxable years beginning after December 31, 2025.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/7157/all-info