I
119THCONGRESS
1
STSESSION H. R. 1128
To amend the Internal Revenue Code of 1986 to increase the rate of the
excise tax based on investment income of private colleges and universities
and to broaden the definition of applicable educational institution by
lowering the threshold with respect to aggregate fair market value per
student, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY7, 2025
Mr. L
AWLERintroduced the following bill; which was referred to the
Committee on Ways and Means
A BILL
To amend the Internal Revenue Code of 1986 to increase
the rate of the excise tax based on investment income
of private colleges and universities and to broaden the
definition of applicable educational institution by low-
ering the threshold with respect to aggregate fair market
value per student, and for other purposes.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE. 3
This Act may be cited as the ‘‘Endowment Account-4
ability Act’’. 5
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•HR 1128 IH
SEC. 2. EXCISE TAX BASED ON INVESTMENT INCOME OF 1
PRIVATE COLLEGES AND UNIVERSITIES. 2
(a) I
NCREASE INRATE OFTAX.—Section 4968(a) of 3
the Internal Revenue Code of 1986 is amended by striking 4
‘‘1.4 percent’’ and inserting ‘‘10 percent’’. 5
(b) L
OWERINGASSETPERSTUDENTTHRESHOLD 6
FORDEFINITION OFAPPLICABLEEDUCATIONALINSTI-7
TUTION.—Section 4968(b)(1)(D) of such Code is amended 8
by striking ‘‘$500,000’’ and inserting ‘‘$200,000’’. 9
(c) E
FFECTIVEDATE.—The amendments made by 10
this section shall apply to taxable years beginning after 11
the date of the enactment of this Act. 12
Æ
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