S. 1187

Mortgage Forgiveness Tax Relief Act

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II

113th CONGRESS

1st Session

S. 1187

IN THE SENATE OF THE UNITED STATES

June 19, 2013

Ms. Stabenow (for herself, Mr. Heller, Mr. Menendez, and Mr. Isakson) introduced the following bill; which was read twice and referred to the Committee on Finance

A BILL

To prevent homeowners from being forced to pay taxes on forgiven mortgage loan debt.

1.

Short title

This Act may be cited as the Mortgage Forgiveness Tax Relief Act.

2.

Extension of exclusion from gross income of discharge of qualified principal residence indebtedness

(a)

In general

Subparagraph (E) of section 108(a)(1) of the Internal Revenue Code of 1986 is amended by striking January 1, 2014 and inserting January 1, 2016.

(b)

Effective date

The amendment made by this section shall apply to indebtedness discharged after December 31, 2013.