0
0
0
Mortgage Debt Tax Forgiveness Act of 2025
3/5/2025, 5:08 AM
Summary of Bill HR 917
Bill 119 HR 917, also known as the Mortgage Forgiveness Tax Relief Act, aims to amend the Internal Revenue Code of 1986 to permanently exclude from gross income the discharge of qualified principal residence indebtedness. This means that individuals who have had their mortgage debt forgiven by a lender would not have to pay taxes on the forgiven amount.
The bill seeks to provide relief to homeowners who have faced financial hardship and had to negotiate with their lenders to forgive a portion of their mortgage debt. Currently, this exclusion is only temporary and has been extended multiple times since its initial enactment in 2007.
By making this exclusion permanent, the bill aims to provide certainty and stability to homeowners who may find themselves in a similar situation in the future. It also aims to prevent homeowners from facing a hefty tax bill on top of their financial struggles. Overall, Bill 119 HR 917 seeks to provide much-needed relief to homeowners facing financial hardship and ensure that they are not burdened with additional taxes on forgiven mortgage debt.
The bill seeks to provide relief to homeowners who have faced financial hardship and had to negotiate with their lenders to forgive a portion of their mortgage debt. Currently, this exclusion is only temporary and has been extended multiple times since its initial enactment in 2007.
By making this exclusion permanent, the bill aims to provide certainty and stability to homeowners who may find themselves in a similar situation in the future. It also aims to prevent homeowners from facing a hefty tax bill on top of their financial struggles. Overall, Bill 119 HR 917 seeks to provide much-needed relief to homeowners facing financial hardship and ensure that they are not burdened with additional taxes on forgiven mortgage debt.
Congressional Summary of HR 917
Mortgage Debt Tax Forgiveness Act of 2025
This bill makes permanent the exclusion of the discharge of qualified principal residence indebtedness from gross income for federal tax purposes.
Under current law, a taxpayer may generally exclude from gross income up to $750,000 (or $375,000 if married but filing a separate federal tax return) from the discharge of indebtedness that is (1) incurred to purchase, build, or substantially improve a principal residence (or refinance such indebtedness); and (2) secured by the principal residence. The discharge must currently occur before January 1, 2026, and some limitations apply.
Read the Full Bill
Current Status of Bill HR 917
Bill HR 917 is currently in the status of Bill Introduced since February 4, 2025. Bill HR 917 was introduced during Congress 119 and was introduced to the House on February 4, 2025. Bill HR 917's most recent activity was Referred to the House Committee on Ways and Means. as of February 4, 2025
Bipartisan Support of Bill HR 917
Total Number of Sponsors
1Democrat Sponsors
1Republican Sponsors
0Unaffiliated Sponsors
0Total Number of Cosponsors
0Democrat Cosponsors
0Republican Cosponsors
0Unaffiliated Cosponsors
0Policy Area and Potential Impact of Bill HR 917
Primary Policy Focus
Alternate Title(s) of Bill HR 917
To amend the Internal Revenue Code of 1986 to make permanent the exclusion from gross income of discharge of qualified principal residence indebtedness.
To amend the Internal Revenue Code of 1986 to make permanent the exclusion from gross income of discharge of qualified principal residence indebtedness.
Comments
Sponsors and Cosponsors of HR 917
Latest Bills
Expressing support for the designation of April 2026 as "Second Chance Month".
Bill HRES 1173April 15, 2026
Supporting the designation of April 10 as "Dolores Huerta Day", in honor of the accomplishments and legacy of the trailblazing labor and civil rights leader Dolores Huerta.
Bill HRES 1170April 15, 2026
Supporting the designation of the week of April 20 through April 24, 2026, as "National Home Visiting Week".
Bill HRES 1171April 15, 2026
Honoring the 2026 Olympians and Paralympians from Oregon.
Bill HRES 1169April 15, 2026
Providing for the expulsion of Representative Tony Gonzales from the United States House of Representatives.
Bill HRES 1172April 15, 2026
Recognizing U.S. Immigration and Customs Enforcement for their work in protecting communities from violent criminals and illegal aliens.
Bill HRES 1168April 15, 2026
Expressing support for the designation of the month of April 2026 as "Parkinson's Awareness Month".
Bill HRES 1167April 15, 2026
To amend the Federal Food, Drug, and Cosmetic Act to require drug labeling to include original manufacturer and supply chain information.
Bill HR 8269April 15, 2026
To direct the Committee on Foreign Investment in the United States to conduct a review of certain transactions.
Bill HR 8258April 15, 2026
To amend the Internal Revenue Code of 1986 to allow additional catch-up contributions for certain family caregivers.
Bill HR 8273April 15, 2026