The House Committee on Government Reform has unanimously
passed civil service bills expanding tax breaks for
employee health premiums, student loan repayments, and
travel benefits.
Introduced by Chairman Tom Davis, R-Va., HR-994 — now
on its way to the House Ways and Means Committee –
allows retired military personnel and federal employees
to pay federal healthcare premiums with pre-tax dollars
and offers an income tax deduction to active duty
personnel for supplemental insurance premiums. Retirees
would save about $450 a year if passed.
Another bill — H.R. 1765 — called the “GOFEDS Act” makes
tax-free the federal student loan repayment benefits
that some employees receive, and would require the
Office of Personnel Management to report to Congress
annually on agencies that have not provided the benefit.
“Making student loan repayments tax-free and expanding
premium conversion benefits are important tools to help
the federal government become a model employer,” said
Davis, who also introduced this bill.
A third bill – H.R. 1283 – introduced by Congressman
Jim Moran, D-Va., and heading to the floor for approval,
requires agencies to provide tax-free transportation
benefits to federal employees and allows agencies to
transport employees between the office and mass transit
stations.
