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131 STAT. 2081 PUBLIC LAW 115–97—DEC. 22, 2017 (C) the standard deduction determined under section 63(c) of such Code shall be increased by the net disaster loss, and (D) section 56(b)(1)(E) of such Code shall not apply to so much of the standard deduction as is attributable to the increase under subparagraph (C) of this paragraph. (2) NET DISASTER LOSS.—For purposes of this subsection, the term ‘‘net disaster loss’’ means the excess of qualified dis- aster-related personal casualty losses over personal casualty gains (as defined in section 165(h)(3)(A) of the Internal Revenue Code of 1986). (3) QUALIFIED DISASTER-RELATED PERSONAL CASUALTY LOSSES.—For purposes of this paragraph, the term ‘‘qualified disaster-related personal casualty losses’’ means losses described in section 165(c)(3) of the Internal Revenue Code of 1986 which arise in a disaster area described in subsection (a) on or after January 1, 2016, and which are attributable to the events giving rise to the Presidential declaration described in subsection (a) which was applicable to such area. PART IV—EDUCATION SEC. 11031. TREATMENT OF STUDENT LOANS DISCHARGED ON ACCOUNT OF DEATH OR DISABILITY. (a) IN GENERAL.—Section 108(f) is amended by adding at the end the following new paragraph: ‘‘(5) DISCHARGES ON ACCOUNT OF DEATH OR DISABILITY.— ‘‘(A) IN GENERAL.—In the case of an individual, gross income does not include any amount which (but for this subsection) would be includible in gross income for such taxable year by reasons of the discharge (in whole or in part) of any loan described in subparagraph (B) after December 31, 2017, and before January 1, 2026, if such discharge was— ‘‘(i) pursuant to subsection (a) or (d) of section 437 of the Higher Education Act of 1965 or the parallel benefit under part D of title IV of such Act (relating to the repayment of loan liability), ‘‘(ii) pursuant to section 464(c)(1)(F) of such Act, or ‘‘(iii) otherwise discharged on account of the death or total and permanent disability of the student. ‘‘(B) LOANS DESCRIBED.—A loan is described in this subparagraph if such loan is— ‘‘(i) a student loan (as defined in paragraph (2)), or ‘‘(ii) a private education loan (as defined in section 140(7) of the Consumer Credit Protection Act (15 U.S.C. 1650(7))).’’. (b) EFFECTIVE DATE.—The amendment made by this section shall apply to discharges of indebtedness after December 31, 2017. SEC. 11032. 529 ACCOUNT FUNDING FOR ELEMENTARY AND SEC- ONDARY EDUCATION. (a) IN GENERAL.— (1) IN GENERAL.—Section 529(c) is amended by adding at the end the following new paragraph: 26 USC 108 note. 26 USC 108. VerDate Sep 11 2014 10:09 Oct 18, 2018 Jkt 079139 PO 00097 Frm 00029 Fmt 6580 Sfmt 6581 E:\PUBLAW\PUBL097.115 PUBL097 dkrause on DSKBC28HB2PROD with PUBLAWS