A bill to amend the Internal Revenue Code of 1954 to allow a credit against income tax to individuals for certain expenses incurred in providing higher education.

[AI summary unavailable — showing source text] Allows, under the Internal Revenue Code of 1954, a credit against the individual income tax for expenses paid by the taxpayer for the higher education of any individual, including the taxpayer. Excludes scholarships and fellowship grants, and educational assistance benefits paid by the Veterans' Administration, from such expenses paid for education purposes under this Act. Limits the eligibility for tax credit. Provides that the credit allowed to the taxpayer during the taxable year shall not exceed an amount equal to the sum of: (1) 100 percent of so much of the education expenses as does not exceed $200; (2) 75 percent of so much of such expenses as exceeds $200 but does not exceed $500; and (3) 25 percent of so much of such expenses as exceeds $500 but does not exceed $1500. Reduces the credit allowable under this Act by an amount equal to 1 percent of the amount by which the taxpayer's adjusted gross income under the code exceeds $25,000.…