Congressman Horsford Introduces H.R. 2806 To Remedy Tax Code and Provide Relief for College Students

WASHINGTON, DC - On Thursday, May 16, Congressman Horsford introduced legislation to fix a provision in the harmful Republican tax law, which raised the tax rate for scholarship and fellowship recipients up to 37 percent.

"The President promised that the new tax law would benefit the middle class. Instead, the GOP tax law has proven one thing: it has left the middle class behind,"said Congressman Horsford."More than one million undergraduate students and thousands of graduate students using scholarships and fellowships often do so because they lack the necessary resources to cover the growing cost of receiving an education. Instead of simplifying the tax code to make it easier to get an education, the Republican tax plan punishes students and their families with this ill-conceived change."

"I promised to make sure Nevada families can get the break they deserve and I am doing exactly that."

The Republican-backed tax law moved quickly through the House and Senate before passing in December of 2017 and included the provision taxes students' financial aid using a decades tax old rate originally created to stop families from passing down assets to their children to lower their tax.

H.R. 2806 would solve for the Republican tax plan treating wealthy individuals differently than scholarship recipients and prevent tax-hikes on scholarship and fellowship earners who may use funds to pay for living expenses.