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Congress·In Committee·H.R. 7878

AmeriCorps: Tax-Free Education Awards

Segal AmeriCorps Educational Award Tax Relief Act of 2026

Legislative Progress

House
Senate
President
Law

Key Points

  • This bill would stop the federal government from taxing the money people earn for school through AmeriCorps. Currently, when someone finishes their service and gets an educational award to pay for college or student loans, that money is treated like regular income and is taxed.
  • If passed, AmeriCorps members could use their full award—which is currently worth about $7,395 for a full year of service—without having to pay part of it back in taxes. This helps volunteers keep the full amount they earned while serving their communities.
  • The new rules would apply to money used for future tuition and money used to pay back existing student loans. By removing the tax, the bill aims to make it more affordable for people from all backgrounds to participate in national service programs.

Milestones

2 milestones2 actions
Mar 9, 2026House

Referred to the House Committee on Ways and Means.

Mar 9, 2026

Introduced in House

Source Information

Document Type

Congressional Bill

Official Title

Segal AmeriCorps Educational Award Tax Relief Act of 2026

Bill NumberHR 7878
Congress119th Congress
ChamberHouse of Representatives
Latest ActionReferred to the House Committee on Ways and Means.

Sponsor

Cosponsors

(1)
R: 1

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