H.R.1818 - Aviation Workforce Development Act (119th Congress)
Summary
H.R. 1818, the Aviation Workforce Development Act, aims to amend the Internal Revenue Code of 1986 to allow qualified distributions from qualified tuition programs (529 plans) for certain aviation maintenance and commercial pilot courses. This would effectively expand the permissible uses of 529 plans to include expenses related to aviation training. The bill specifies that qualified aviation maintenance courses are those taught at aviation maintenance technician schools governed by part 147 of title 14, Code of Federal Regulations, and qualified commercial pilot courses are those taught at flight schools providing flight training as defined in part 61 or holding a pilot school certificate under part 141 of title 14, Code of Federal Regulations.
Expected Effects
The primary effect of this bill would be to make aviation training more accessible and affordable by allowing individuals to use 529 savings plans to cover the costs of aviation maintenance and commercial pilot courses. This could lead to an increase in the number of qualified aviation professionals. It could also incentivize more people to pursue careers in these fields, addressing potential workforce shortages in the aviation industry.
Potential Benefits
- Increased Accessibility to Aviation Training: Allows individuals to use 529 plans, making aviation training more affordable.
- Workforce Development: Addresses potential shortages of aviation maintenance technicians and commercial pilots.
- Economic Stimulus: Could stimulate growth in the aviation training sector.
- Individual Empowerment: Empowers individuals to pursue careers in aviation by providing financial assistance.
- Skill Development: Promotes the development of specialized skills crucial for the aviation industry.
Potential Disadvantages
- Potential Strain on 529 Plans: Increased usage of 529 plans for aviation training could reduce funds available for traditional higher education.
- Limited Scope: The benefits are concentrated within a specific industry (aviation), potentially overlooking other workforce development needs.
- Tax Revenue Impact: Allowing these distributions may slightly reduce tax revenue.
- Risk of Misuse: There is a potential risk of misuse of funds if the courses are not properly vetted.
- Administrative Burden: Implementing and overseeing the new provisions may create additional administrative burden.
Constitutional Alignment
This bill appears to align with the general welfare clause of the US Constitution, as it aims to promote workforce development and address potential shortages in the aviation industry, contributing to the overall economic health of the nation. Specifically, the preamble states the Constitution is intended to "promote the general Welfare". Article 1, Section 8, Clause 1 grants Congress the power to lay and collect taxes, duties, imposts and excises, to pay the debts and provide for the common defense and general welfare of the United States. This bill uses the tax code to incentivize training in a specific sector, which falls under the purview of promoting general welfare. The bill does not appear to infringe upon any specific individual rights or liberties protected by the Constitution or its amendments.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).