Section 1 Short title
This Act may be cited as the “Scholarship Tax Relief for Students Act of 2015”.
Scholarship Tax Relief for Students Act of 2015
A BILL
To amend the Internal Revenue Code of 1986 to exclude from gross income any amount awarded under a Federal Pell Grant and any portion of a scholarship used by a full-time student for room and board.
Sec. 2 Exclusion for Federal Pell Grants and for scholarship and fellowship funds used for room and board
In general— Section 117(b)(2) of the Internal Revenue Code of 1986 is amended by striking “and” at the end of subparagraph (A), by striking the period at the end of subparagraph (B) and inserting a comma, and by adding at the end the following new subparagraphs:
“(C) room and board while carrying a full-time workload for the course of study the individual is pursuing at an educational organization, and
“(D) in the case of amounts awarded under subpart 1 of part A of title IV of the Higher Education Act of 1965 (relating to Federal Pell Grants), any expenses for which such amounts may be used by the individual under such subpart.”
Effective date— The amendment made by subsection (a) shall apply to amounts received in taxable years beginning after December 31, 2014.