Bill Summary
The "Dental Loan Repayment Assistance Act of 2025" proposes amendments to the Internal Revenue Code of 1986 to exclude certain federally subsidized loan repayments from being counted as gross income for dental school faculty. Specifically, it modifies Section 108(f)(4) to expand the categories of loan repayment programs eligible for this exclusion, ensuring that repayments received under specific federal and state loan repayment programs are not taxed. This legislation aims to provide financial relief to dental educators, encouraging them to remain in teaching and clinical roles. The amendments will take effect for taxable years beginning after the enactment of the Act. Additionally, the legislation mandates a review by the Comptroller General to assess the participation of dental faculty in funded programs and their continued engagement in educational and clinical settings post-funding.
Possible Impacts
The "Dental Loan Repayment Assistance Act of 2025" proposes to amend the Internal Revenue Code to exclude certain federally subsidized loan repayments for dental school faculty from gross income. Here are three examples of how this legislation could affect people:
1. **Financial Relief for Dental Faculty**: Dental school faculty who participate in federally subsidized loan repayment programs would benefit financially as their loan repayments would no longer be considered taxable income. This could lead to increased disposable income for these educators, allowing them to invest in their personal lives or save for future expenses, such as retirement or children's education.
2. **Increased Enrollment in Dental Education Programs**: By providing a tax incentive through the exclusion of loan repayments from taxable income, this legislation may encourage more individuals to pursue careers in dental education. This could help combat the shortage of dental faculty, improve the quality of dental education, and ultimately lead to a better-trained workforce of dental professionals.
3. **Enhanced Access to Dental Care**: As more dental school faculty participate in loan repayment programs due to the financial incentives, there may be an increase in the number of faculty members involved in teaching and providing care in dental clinics, hospitals, or community-based sites. This could lead to greater access to dental services for underserved populations, improving overall community health outcomes.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1758 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 1758
To amend the Internal Revenue Code of 1986 to exclude from gross income
certain federally subsidized loan repayments for dental school faculty.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
February 27, 2025
Mr. Van Drew (for himself and Ms. Clarke of New York) introduced the
following bill; which was referred to the Committee on Ways and Means,
and in addition to the Committee on Energy and Commerce, for a period
to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the
committee concerned
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to exclude from gross income
certain federally subsidized loan repayments for dental school faculty.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Dental Loan Repayment Assistance Act
of 2025''.
SEC. 2. EXCLUSION OF CERTAIN FEDERALLY SUBSIDIZED LOAN REPAYMENTS FOR
DENTAL SCHOOL FACULTY.
(a) In General.--Section 108(f)(4) of the Internal Revenue Code of
1986 is amended--
(1) in the heading, by striking ``Payments under national
health service corps loan repayment program and certain state
loan repayment programs'' and inserting ``Certain federal and
state loan repayment programs'', and
(2) by inserting ``, under a loan repayment program awarded
a grant or contract under section 748(a)(2) of such Act'' after
``section 338I of such Act''.
(b) Effective Date.--The amendments made by this section shall
apply to amounts received in taxable years beginning after the date of
the enactment of this Act.
(c) GAO Report.--The Comptroller General of the United States shall
review and report to the appropriate committees of Congress on the
participation of dental providers and faculty in areas and schools
receiving funding from the Dental Faculty Development and Loan
Repayment Program under section 748(a)(2) of the Public Health Service
Act (42 U.S.C. 293k-2(a)(2)), including the extent to which such
individuals remain full-time faculty teaching and practicing in dental
clinics located in dental schools, hospitals, or community-based
affiliated sites after receiving funding from the program.
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