Representative Scott DesJarlais (TN-04) has introduced H.R. 2874, the Andrew P. Carpenter Tax Act.

Lance Corporal Andrew P. Carpenter of Columbia, Tennessee lost his life on February 19, 2011, while serving his country in Afghanistan. Three years prior to his tour of duty, Andrew took out a private student loan. Although this loan was ultimately forgiven by the loan company, the Carpenter family was shocked to receive a $1,000 tax bill from the Internal Revenue Service (IRS) informing them that the discharged debt would still be factored into their gross taxable income for that year.

This legislation would amend the Internal Revenue Code by exempting student loan forgiveness from being categorized as gross taxable income for families of veterans who lost their lives while serving on active duty in the United States Armed Forces.

“Having already sacrificed so much for our country, it is simply wrong to require our military families to pay taxes on loans already forgiven,” said Representative DesJarlais. “This legislation is a fitting way to fix a glaring problem in our tax code while paying tribute to the memory of Lance Corporal Carpenter. His family has experienced the pain of losing a son, husband and father. If passed, I hope this measure will in some way ease their burden.”

The Andrew P. Carpenter Tax Act would have a retroactive effective date of October 7, 2001, the start of Operation Enduring Freedom.

Click here for more information on this legislation, including a list of co-sponsors.