Employer Participation in Repayment Act of 2019

II 116TH CONGRESS 1ST SESSION S. 460 To amend the Internal Revenue Code of 1986 to extend the exclusion for employer-provided education assistance to employer payments of student loans. IN THE SENATE OF THE UNITED STATES FEBRUARY 12, 2019 Mr. WARNER (for himself, Mr. THUNE, Mr. KING, Mrs. CAPITO, Mr. MARKEY, Mr. ROBERTS, Mr. MURPHY, Mr. HOEVEN, Mr. JONES, Mr. ROUNDS, Mr. BLUMENTHAL, Ms. COLLINS, Mr. TESTER, Mr. BLUNT, Ms. HAS- SAN, Mr. YOUNG, Ms. ROSEN, Mr. GARDNER, and Ms. SINEMA) intro- duced the following bill; which was read twice and referred to the Com- mittee on Finance A BILL To amend the Internal Revenue Code of 1986 to extend the exclusion for employer-provided education assistance to employer payments of student loans. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Employer Participation 4 in Repayment Act of 2019’’. 5 VerDate Sep 11 2014 01:15 Feb 22, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S460.IS S460 pamtmann on DSKBFK8HB2PROD with BILLS 2 •S 460 IS SEC. 2. EXCLUSION FOR CERTAIN EMPLOYER PAYMENTS 1 OF STUDENT LOANS. 2 (a) IN GENERAL.—Paragraph (1) of section 127(c) 3 of the Internal Revenue Code of 1986 is amended by strik- 4 ing ‘‘and’’ at the end of subparagraph (A), by redesig- 5 nating subparagraph (B) as subparagraph (C), and by in- 6 serting after subparagraph (A) the following new subpara- 7 graph: 8 ‘‘(B) the payment by an employer, whether 9 paid to the employee or to a lender, of principal 10 or interest on any qualified education loan (as 11 defined in section 221(d)(1)) incurred by the 12 employee, and’’. 13 (b) CONFORMING AMENDMENT; DENIAL OF DOUBLE 14 BENEFIT.—Paragraph (1) of section 221(e) of the Inter- 15 nal Revenue Code of 1986 is amended by inserting before 16 the period the following: ‘‘, or for which an exclusion is 17 allowable under section 127 to the taxpayer’s employer by 18 reason of the payment by such employer of any indebted- 19 ness on a qualified education loan of the taxpayer’’. 20 (c) EFFECTIVE DATE.—The amendments made by 21 this section shall apply to payments made after December 22 31, 2019. 23 Æ VerDate Sep 11 2014 01:15 Feb 22, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6301 E:\BILLS\S460.IS S460 pamtmann on DSKBFK8HB2PROD with BILLS