H.R. 7157 — Supporting Teachers Through Tax Fairness Act

This section establishes an exclusion from gross income for up to $50,000 of wages received by eligible K–12 public school educators (i.e., kindergarten through grade 12 teachers, instructors, counselors, or aides who perform at least 900 hours during a school year ending in the taxable year at a public elementary or secondary school) for taxable years beginning after December 31, 2025. The exclusion limit increases to $65,000 for eligible educators at (1) schools where at least 75% of students qualify for free or reduced-price lunches under the National School Lunch Act, (2) rural schools (i.e., areas other than cities or towns with populations greater than 50,000 inhabitants or contiguous urbanized areas), or (3) positions in special education or science, technology, engineering, or mathematics (STEM). The Secretary of the Treasury must issue regulations to implement the exclusion, including a process for schools to certify educators' hours and qualifications.