Us Congress 2023-2024 Regular Session

Us Congress House Bill HB6050

Introduced
10/25/23  

Caption

Student Empowerment Act

Impact

If enacted, HB6050 would significantly affect families seeking to fund private schooling, homeschooling, and related educational endeavors. By broadening the qualified expenses under 529 plans, the bill aims to alleviate some of the financial burdens associated with K-12 education. This change could encourage more families to consider alternative educational options beyond public schooling, supporting a more diverse educational landscape. Furthermore, the bill includes provisions for students requiring specialized educational therapies, demonstrating a commitment to inclusivity and support for special education needs.

Summary

House Bill 6050, known as the Student Empowerment Act, proposes an amendment to the Internal Revenue Code of 1986 to expand the use of 529 education savings accounts. Specifically, the bill aims to allow families to utilize these accounts for a broader range of educational expenses, including tuition for kindergarten through grade 12, books, curriculum materials, tutoring, fees for standardized tests, and educational therapies for students with disabilities. This amendment seeks to optimize the financial resources available for educational purposes, thereby empowering parents to make informed decisions about their children's learning paths.

Contention

Despite the bill's positive intentions, it may face opposition regarding its implications for public education funding. Critics may argue that expanded access to 529 funds for private schooling could divert essential resources away from public schools, exacerbating funding challenges in already underfunded districts. Additionally, there may be concerns regarding accountability and oversight of how 529 funds are used, especially when it comes to non-traditional educational settings such as homeschooling. As discussions progress, balancing support for parental choice in education with the need to uphold strong public education systems will likely be a significant point of contention.

Companion Bills

US SB57

Same As Student Empowerment Act This bill allows tax-exempt distributions from qualified tuition programs (known as 529 plans) to be used for additional educational expenses in connection with enrollment or attendance at an elementary or secondary school. (Under current law, distributions in connection with an elementary or secondary school are limited to tuition for a public, private, or religious school.) The bill allows the distributions to be used for additional educational expenses, including curriculum and curricular materials, books or other instructional materials, online educational materials, tutoring or educational classes outside the home, testing fees, fees for dual enrollment in an institution of higher education, and educational therapies for students with disabilities. Distributions may also be used for tuition and the purposes above in connection with a homeschool (whether treated as a homeschool or a private school under state law).

US HB976

Related TCJA Permanency Act

US HB6795

Related ACE Act Achieving Choice in Education Act

US SB3520

Related ACE Act Achieving Choice in Education Act

US HB8915

Related Education and Workforce Freedom Act

Similar Bills

No similar bills found.