"So, of course, some college students and graduate students are going to be upset, but you have to weigh the pros and cons here", Eccarius said.
Like other graduate students around the country, Wagh could lose money if Congress passes a Republican tax reform plan that would treat tuition waivers as taxable income. Politico reported that tuition waivers at some schools exceed $40,000, meaning some students' taxable income would more than triple under the House plan. Under current tax law, up to $5,250 can be provided tax-free.
Student Fiona Ruddy took the microphone and urged everyone to "make sure you call, tweet and shame your representatives - especially if you're from MI and purple states".
The bill would tax tuition waivers many graduate students receive for working as teachers or researchers at the schools they're attending. These waived tuition fees are a big part of many graduate students' compensation packages. That's a value of about $13,000 for in-state students and about $20,000 for out-of-state students. Taxing the waived tuition would present a hardship, especially for lower-income students and global students.
Assanis echoed the students' concerns and said he believes the provisions in the tax bill will result in fewer people with master's and doctoral degrees, which means the USA could fall behind other countries in fields such as math and science, and even lose its competitive edge in subject areas outside the STEM fields.
"Neither the House and Senate plan are finalized", Toomey's office said in a statement to Inside Higher Ed. GSG President Hossein Tavakoli says the proposed federal tax plan includes a huge tax hike on graduate students. However, students who are working toward an advanced degree are among those who could be paying more under the new plan. It is unlikely that I will take any more classes while at Yale. Speakers called on Congressional representatives from Minnesota to defend and support graduate students by opposing the tax bill. The tax applies to the annual investment earnings of universities with private-equity endowments that equate to more than $250,000 per student (150 schools). "We have to have graduate students".
U. of C. has also raised concerns about the Republican Tax bill, known as the "Tax Cuts and Jobs Act", that passed in the U. S. House of Representatives this month.
The Department of Education reports that 60 percent of all graduate workers in the United States who benefit from Section 117 (d) - the provision of the USA tax code responsible for the tax-exempt status of their tuition waivers - work in a STEM, science, technology, engineering or math, field. This may also have a larger impact on global graduate students, as their out-of-state designation would yield higher taxes.
We are opposed to House Resolution 1's proposed graduate student tax.
Despite a few notable reforms - such as raising the retirement age for new public employees - the state's finances remain shaky, and its taxes are among the highest even in the tax-heavy Northeast.
"Even if the Senate version wins out, even if the University manages its accounting in a way or provides extra aid to manage the increased tax burden we still need to be concerned about this bill because the endowment tax and other things will have serious restructuring effects on the university", Cronin said. If and when the Senate passes a bill, I hope that the conference process will improve the final product. After gathering outside, graduate students sat in the lobby of a building to demonstrate what they do on a daily basis and make their case to the university - and those who might be watching in Washington - for how valuable their work is.
At the heart of is a provision in the House bill that would tax tuition waivers. They are the ones that, through their teaching, inspire students to fall in love with foreign languages.
"Worst case scenario, college is not an option for my sister [who is now in first grade]", she said. "We call on Paxson today to speak out more about this bill and to stand up for grad students as well as others who will be affected by this bill", she added. Expanding the Federal Pell Grant program, defending the security of DACA students, and expanding rather than reducing tuition support is a necessary component of that effort. "I don't like the message that devalues the education of graduate students".