FOR IMMEDIATE RELEASE:
November 16th, 2017
CONTACT: Natalia Abrams
310-365-1069 / 646-820-8037
Statement on the House GOP Tax Bill
Thursday, November 16th – House Republicans passed a disastrous tax bill that dealt a blow to Americans who are struggling with massive student loan debt. The bill ends the $2,500 student loan interest deduction, over 12 million people will have to pay more on their loans every year. This comes at a time when Americans need more help paying for college, not less.
The GOP tax bill does not only take away the student loan interest deduction, it also eliminates the medical expense deduction, tax breaks for teachers who have to buy school supplies for their classrooms, and it even strips tax credits for businesses who hire veterans.
“A majority of Americans oppose this tax bill. Student Debt Crisis supporters will continue to speak out against this wildly unpopular plan by calling, emailing, and reaching out to their representatives. Republicans in the House had a choice, support students and borrowers or give kickbacks to billionaires. They made the wrong choice.”
– Natalia Abrams, Executive Director Student Debt Crisis
Student Debt Crisis has long advocated for increasing the student loan interest deduction. Instead, this bill completely obliterates tax benefits for borrowers. The message is clear, GOP members of Congress have abandoned students and student loan borrowers.
The GOP tax bill cuts over $65 billion in higher education tax breaks, and targets college students and people with student loans in particular. Eliminating the student loan interest deduction means that Americans will lose hundreds of dollars in tax refunds every year. The bill goes further by erasing the Lifetime Learning Credit that allows Americans to write off tuition expenditures. It also scraps the exemption that currently makes employer contributions to worker’s education expenses tax-free.
Abrams highlighted other policy rollbacks recently approved by the Trump Administration, “there has been the weakening of consumer protections designed to protect borrowers from predatory loan servicing companies and the delay of a debt-relief program for students defrauded by predatory for-profit colleges.” The financial security of millions of Americans has been eroded by policymakers who have put the interest of big corporations over working families trying to pay for college.
Student Debt Crisis is a nationwide advocacy group with over 1,000,000 supporters calling for fair student loan and higher education policies.