TAX RELIEF FOR WHO?

On April 26, 2017, the White House unveiled a plan to provide “tax relief to both our corporations that will help grow jobs, and to middle Americans.” In a briefing, Secretary of the Treasury Steven Mnuchin and Director of the National Economic Council Gary Cohn admitted that the President’s plan takes away a critical benefit for student loan borrowers.

Under the plan, which looks to slash corporate tax rates in an effort to spur a business expansion, the federal tax deduction for interest paid on student loans would be eliminated.

This comes on the heels of well-publicized moves by the U.S. Department of Education to strip away various consumer protections for borrowers in default.