Bill Summary
The "Rural Veterinary Workforce Act" is a proposed amendment to the Internal Revenue Code aimed at providing tax relief for individuals participating in certain veterinary student loan repayment or forgiveness programs. Specifically, it modifies Section 108(f)(4) of the Internal Revenue Code to allow for the exclusion of assistance received under these programs from taxable income. This amendment not only extends the exclusion to programs established under the National Agricultural Research, Extension, and Teaching Policy Act but also includes any state programs designed to enhance access to veterinary services. The changes will take effect for amounts received in taxable years starting after December 31, 2025. The legislation aims to support the veterinary workforce, particularly in rural areas, by alleviating the financial burden of student loans for veterinary professionals.
Possible Impacts
The "Rural Veterinary Workforce Act" as described in the legislation could impact people in several ways:
1. **Financial Relief for Veterinary Students**: By providing an exclusion for assistance received through veterinary student loan repayment or forgiveness programs, the Act could reduce the tax burden on veterinary graduates participating in these programs. This financial relief may encourage more students to pursue veterinary careers, particularly in rural areas, where the demand for veterinarians is often higher.
2. **Increased Access to Veterinary Services**: With more veterinarians potentially able to afford their education through loan forgiveness programs, rural communities may see an increase in the availability of veterinary services. This could enhance animal health care, support local agriculture, and improve overall community welfare by ensuring that pets and livestock receive necessary medical attention.
3. **Attraction of Talent to Rural Areas**: The legislation may incentivize veterinary graduates to work in underserved rural areas by alleviating some of their educational debt. As a result, more qualified veterinarians might choose to settle in these regions, addressing the shortage of veterinary professionals and fostering economic growth within rural communities reliant on agriculture and livestock.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2398 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 2398
To amend the Internal Revenue Code of 1986 to provide for an exclusion
for assistance provided to participants in certain veterinary student
loan repayment or forgiveness programs.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
March 27, 2025
Mr. Smith of Nebraska (for himself, Mr. Larson of Connecticut, Mrs.
Fischbach, Mr. Panetta, Mr. Feenstra, Ms. Stansbury, Mr. Rouzer, Mr.
Carey, Ms. Budzinski, Ms. Houlahan, Mr. Davis of North Carolina, Mr.
Kelly of Mississippi, Mr. Finstad, and Ms. McCollum) introduced the
following bill; which was referred to the Committee on Ways and Means
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to provide for an exclusion
for assistance provided to participants in certain veterinary student
loan repayment or forgiveness programs.
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 ``Rural Veterinary Workforce Act''.
SEC. 2. EXCLUSION FOR ASSISTANCE PROVIDED TO PARTICIPANTS IN CERTAIN
VETERINARY STUDENT LOAN REPAYMENT OR FORGIVENESS
PROGRAMS.
(a) In General.--Section 108(f)(4) of the Internal Revenue Code of
1986 is amended--
(1) by striking ``or'' after ``such Act,'';
(2) by striking the period at the end and inserting ``,
under section 1415A of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3151a), or
under any other State loan repayment or loan forgiveness
program that is intended to provide for increased access to
veterinary services in such State.''; and
(3) by striking ``state'' in the heading and inserting
``other''.
(b) Effective Date.--The amendments made by this section shall
apply to amounts received by an individual in taxable years beginning
after December 31, 2025.
<all>