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Tax Relief for AmeriCorps Education Awards: No Income Tax on Grants

This act means that individuals who received AmeriCorps education awards will no longer have to pay income tax on them. This will leave more money in the pockets of citizens who dedicated their time to public service, making it easier for them to repay student loans or cover educational expenses.
Key points
Segal AmeriCorps Education Awards will be excluded from gross income for tax purposes.
The exclusion also applies to the discharge of student loan debt paid with these awards.
These changes will apply to taxable years ending after the act's enactment date, providing real savings for beneficiaries.
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Additional Information
Segal AmeriCorps Education Award Tax Relief Act of 2023
Print number: HR 6759
Sponsor: Rep. Larson, John B. [D-CT-1]
Process start date: 2023-12-13