EXCLUSION OF CERTAIN AMOUNTS RECEIVED UNDER THE NATIONAL HEALTH SERVICE CORPS SCHOLARSHIP PROGRAM AND THE F. EDWARD HEBERT ARMED FORCES HEALTH PROFESSIONS SCHOLARSHIP AND FINANCIAL ASSISTANCE PROGRAM.

SEC. 413. EXCLUSION OF CERTAIN AMOUNTS RECEIVED UNDER THE NATIONAL HEALTH SERVICE CORPS SCHOLARSHIP PROGRAM AND THE F. EDWARD HEBERT ARMED FORCES HEALTH PROFESSIONS SCHOLARSHIP AND FINANCIAL ASSISTANCE PROGRAM. (a) In General.—Section 117(c) (relating to the exclusion from gross income amounts received as a qualified scholarship) is amended— (1) by striking “Subsections (a)” and inserting the following: “(1) In general.—Except as provided in paragraph (2), subsections (a)”, and (2) by adding at the end the following new paragraph: “(2) Exceptions.—Paragraph (1) shall not apply to any amount received by an individual under— “(A) the National Health Service Corps Scholarship Program under section 338A(g)(1)(A) of the Public Health Service Act, or “(B) the Armed Forces Health Professions Scholarship and Financial Assistance program under subchapter I of chapter 105 of title 10, United States Code.”. (b) Effective Date.—The amendments made by subsection (a) shall apply to amounts received in taxable years beginning after December 31, 2001.