WASHINGTON — The House voted Wednesday to expand the benefits of popular college savings plans that President Barack Obama failed to scale back.
The bill would let students use money from college savings accounts to buy computers and other technology, something they cannot do now with tax-free distributions from the accounts.
“Computers are an absolutely essential part of higher education, and the law should be updated to reflect that,” said Rep. Lynn Jenkins, R-Kansas, the bill’s sponsor. “I believe this is a common-sense modernization measure.”
The bill would add $51 million to the budget deficit over the next decade, according to the Joint Committee on Taxation, which provides official estimates for Congress.
The House passed the bill by a 401-20. A bipartisan group of senators has introduced a similar bill.
While the measure highlights a political misstep by the president, White House spokesman Josh Earnest said Wednesday the administration does not oppose the legislation.
Still, he added: “We believe there is more that we can do that would be a whole lot more effective and more fiscally responsible to ensure that we’re opening up a college education to even more middle-class families.”
