Impact of House Tax Bill and a Call for Action

The Graduate Student Association sent this message to all graduate students. We are reposting it because of its importance and possible impact in the lives of all Graduate Students.

HR 1, i.e., the proposed tax bill currently under consideration in the federal House of Representatives, contains provisions which would have an extremely negative impact on higher education. The bill would in particular have a large impact on graduate students.

The most concerning provisions which have come to light are the restructuring of the American Opportunity Tax Credit, the repeal of the Lifetime Learning Credit, the repeal of the Student Loan Interest Deduction, and the new taxability of tuition waivers. To make certain this last provision is clearly stated, the bill would make tuition waivers taxable income.

For a UMBC student this tax bill would, for a full time graduate assistant taking 9 credits per semester, result in a net increase in taxes paid per year of about $1,000. Students at more expensive institutions would face an even more drastic outlook.

The National Association of Graduate-Professional Students (NAGPS) has organized a "Call Congrees Day" to make these issues heard. Due to the timeline of this bill, that day is today, November 8th. Linked here is the relevant webpage on the NAGPS website (http://nagps.org/call-congress-day-tax-cut-jobs-act/). And here is a page of other resources the GSA has gathered in this subject: insert new page here.

We encourage you to voice any concerns you may have with this bill to your federal representatives today. A collective voice is stronger than an individual voice. Together we can make it clear that these provisions are unacceptable, that they are counterproductive to economic growth, and more importantly would be a major burden on an already extremely financially burdened population.

Posted: November 8, 2017, 8:54 PM