A bill to amend the Internal Revenue Code of 1954 to authorize the President to exempt from interest income, certain residential mortgages purchased from Federal and State chartered savings and loan institutions.

Amends the Internal Revenue Code to permit the President to: (1) authorize a tax exemption of interest income from residential mortgages purchased from Federal or State chartered savings and loan institutions for a period not greater than six months; and (2) limit the amount of mortgages eligible for a tax exemption by establishing limits for mortgage maturities and interest rates.