S. 5533Active in CommitteeMixed Sector ImpactTaxation

Segal AmeriCorps Education Award Tax Relief Act of 2026

Official Congressional Title (Segal AmeriCorps Education Award Tax Relief Act of 2026)

Sponsor:Sen. Bennet, Michael F. [D-CO] (D-CO)

Cosponsors (7 total):

3 Dem•4 Rep

Bipartisan Consensus Score100/100

Legislative Status Tracker (Latest Action: 2026-09-24)

Introduced

In Committee

Passed 1 Chamber

Passed Both

Signed into Law

Latest: Read twice and referred to the Committee on Finance.

The Plain-English Breakdown

This Senate legislation (S. 5533) addresses taxation by proposing statutory changes described as: "Segal AmeriCorps Education Award Tax Relief Act of 2026"

What Actually Changes in Real Life If Passed

Updates federal statute under the Taxation policy area (S. 5533).
Sponsored by Sen. Bennet, Michael F. [D-CO] with 7 cosponsor(s).
Latest status (2026-09-24): Read twice and referred to the Committee on Finance.

Clause-by-Clause: Official Verbiage vs. Plain English

Side-by-side translation of the bill's key statutory sections

Core Statutory DirectiveTaxation

📜 Official Statutory Verbiage

“Segal AmeriCorps Education Award Tax Relief Act of 2026”

✨ Plain-English Translation

Segal AmeriCorps Education Award Tax Relief Act of 2026

Who Wins / Benefits

Taxation Stakeholders & Constituents

Primary targeted beneficiaries of the statutory updates or authorizations in this bill.

Who Pays / Loses

Federal Agency / Compliance Budget

Requires administrative implementation or reallocation of federal resources.

Market & Public Equity Impact

Sectors, ETFs, and public companies exposed to this legislation

Mixed Sector Impact

Monitored under Financials & FinTech for legislative and regulatory ripple effects.

XLFFinancial Select Sector SPDR

WATCH

Changes to tax treatment, capital rules, or financial oversight impact banking and capital markets.

Rider & Hidden Pork Detector

Checks for unrelated attachments, earmarks, or omnibus logrolling

Rider Complexity18/100

Targeted single-topic legislation with low rider complexity.

Legalese Jargon Decoder

Phrases in this bill that sound technical—and what they really mean

"...and for other purposes"

Plain Meaning: Allows lawmakers to include related or secondary provisions inside the bill that aren't explicitly listed in the first sentence of the title.

Why Congress uses it: Standard Congressional drafting catch-all so procedural objections can't strike down clauses that go slightly beyond a narrow title.

"Notwithstanding any other provision of law..."

Plain Meaning: This rule overrides any existing federal laws that might conflict with it.

Why Congress uses it: Used as a legal trump card so courts and agencies must follow this new rule even if older laws say the opposite.

Official Congressional Record

Congressional Research Service (CRS) & Statutory Text

Official Legislative Verbiage Excerpt

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 5533 Introduced in Senate (IS)]

<DOC>

119th CONGRESS
  2d Session
                                S. 5533

To amend the Internal Revenue Code of 1986 to provide an exclusion from 
            gross income for AmeriCorps educational awards.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           September 24, 2026

 Mr. Bennet (for himself, Mr. Cassidy, Ms. Cortez Masto, Ms. Collins, 
  Mr. Coons, and Mr. Wicker) introduced the following bill; which was 
          read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL

 
To amend the Internal Revenue Code of 1986 to provide an exclusion from 
            gross income for AmeriCorps educational awards.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Segal AmeriCorps Education Award Tax 
Relief Act of 2026''.

SEC. 2. EXCLUSION FROM GROSS INCOME OF AMERICORPS EDUCATIONAL AWARDS.

    (a) In General.--Paragraph (2) of section 117(c) of the Internal 
Revenue Code of 1986 is amended by striking ``or'' at the end of 
subparagraph (B), by striking the period at the end of subparagraph (C) 
and inserting ``, or'', and by adding at the end the following new 
subparagraph:
                    ``(D) a national service educational award under 
                subtitle D of title I of the National and Community 
                Service Act of 1990.''.
    (b) Exclusion of Discharge of Student Loan Debt.--Subsection (f) of 
section 108 of the Internal Revenue Code of 1986 is amended by adding 
at the end the following new paragraph:
            ``(6) Payments under national service educational award 
        programs.--In the case of an individual, gross income shall not 
        include any amount received under a national service 
        educational award under subtitle D of title I of the National 
        and Community Service Act of 1990 (42 U.S.C. 12601 et seq.).''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years ending after the date of the enactment of this 
Act.
                                 <all>

Official Action Timeline

2026-09-24

Read twice and referred to the Committee on Finance.

2026-09-24

Introduced in Senate