Student Loan Tax Elimination Act

This legislative proposal, titled the Student Loan Tax Elimination Act , aims to amend the Higher Education Act of 1965 by eliminating origination fees on Federal Direct loans. It achieves this by repealing subsection (c) of section 455, which currently authorizes these fees. The bill's purpose is to alleviate the financial burden on students by removing the upfront cost associated with federal student borrowing. The elimination of these fees would apply to Federal Direct loans for which the first disbursement of principal is made, or Federal Direct Consolidation Loan applications are received, on or after July 1 following the date of the bill's enactment.