,,ii #aag? ,,congress #a/ ,session ,s4 #bdee ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,july #bb1 #bjba,mr4 ,:iteh\se 7= himself1 ,mr4 ,wyd51 ,mr4 ,b5net1 ,ms4 ,/ab5[1 ,mrs4 ,murray1 ,mr4 ,br[n1 & ,ms4 ,smi?7 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,f9ance ,a ,,bill ,to am5d ! ,int]nal ,rev5ue ,code ( #aihf to exp& ! exclusion ( ,pell ,grants f gross income1 & = o!r purposes4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,tax-,free ,pell ,grant ,act4 #b4 ,expansion ( ,pell ,grant exclusion f gross income 7a7 ,9 g5]al ,p>agraph section #aag7;b77#a7 ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by /rik+ receiv$ by an individual & all t foll[s & ins]t+ receiv$ by an individual-- 7,a7 z a s*ol>%ip or fell[%ip grant to ! ext5t ! individual e/abli%es t1 9 accordance ) ! conditions ( ! grant1 su* am\nt 0 us$ = qualifi$ tuition & relat$ exp5ses1 or 7,b7 z a ,f$]al ,pell ,grant "u section #dja ( ! ,high] ,education ,act ( #aife 7z 9 effect on ! date ( ! enactm5t ( ! ,tax-,free ,pell ,grant ,act74 4 7b7 ,no adju/m5t "u ,am]ican ,opportunity & ,lifetime ,le>n+ ,cr$its ,section #be;,a7g77#b77;,a7 ( su* ,code is am5d$ by /rik+ a qualifi$ s*ol>%ip :i* & ins]t+ a qualifi$ s*ol>%ip :i* is describ$ 9 section #aag7;b77#a77;,a7 & :i*4 7c7 ,effective date ,! am5dm5ts made by ?is section %all apply to taxable ye>s beg9n+ aft] ,decemb] #ca1 #bjbj4 #c4 ,expansion ( ,am]ican ,opportunity & ,lifetime ,le>n+ ,cr$its 7a7 ,9 g5]al ,section #be;,a ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$-- 7#a7 9 subsection 7f77#a7-- 7,a7 9 subp>agraph 7,a71 by /rik+ tuition & fees ins]t+ tuition1 fees1 comput] or p]iph]al equipm5t1 *ild & dep5d5t c>e exp5ses1 & c\rse mat]ials1 7,b7 by /rik+ subp>agraph 7,d71 & 7,c7 by add+ at ! end ! foll[+ new subp>agraphs3 7,d7 ,*ild & dep5d5t c>e exp5ses ,= purposes ( ?is p>agraph-- 7i7 ,9 g5]al ,! t]m *ild & dep5d5t c>e exp5ses means am\nts paid = ! foll[+ exp5ses1 b only if su* exp5ses are incurr$ to enable ! taxpay] to be enroll$ 9 an eligible educational in/itution = any p]iod = :i* !re are #a or m qualify+ individuals ) respect to ! taxpay]3 7,i7 exp5ses = h\sehold s]vices1 & 7,,ii7 exp5ses = ! c>e ( a qualify+ individual4 ,su* t]m %all n include any am\nt paid = s]vices outside ! taxpay]'s h\sehold at a camp :]e ! qualify+ individual /ays ov]night4 7ii7 ,qualify+ individual ,! t]m qualify+ individual has ! mean+ giv5 su* t]m 9 section #ba7;b77#a74 7iii7 ,exception1 dep5d5t c>e c5t]s ,rules simil> to ! rules ( subp>agraphs 7,b71 7,c71 & 7,d7 ( section #ba7;b77#b7 %all apply1 except ! t]m *ild & dep5d5t c>e exp5ses %all be sub/itut$ = ! t]m employm5t-relat$ exp5ses ea* place x appe>s 9 su* subp>agraphs4 7,e7 ,*ild & dep5d5t c>e exp5ses only qualifi$ exp5ses :5 claim$ by eligible /ud5t ,am\nts paid = an exp5se describ$ 9 subp>agraph 7,e7 may n be tak5 into acc\nt "u ?is p>agraph = a taxable ye> unless requir$ = ! enrollm5t or att5dance ( an individual describ$ 9 subp>agraph 7,a77i7 or subp>agraph 7,a77ii74 7,f7 ,comput] or p]iph]al equipm5t 7i7 ,def9$ ,= purposes ( ?is p>agraph1 ! t]m comput] or p]iph]al equipm5t means exp5ses = ! pur*ase ( comput] or p]iph]al equipm5t 7z def9$ 9 section #afh7;i77#b77;,b71 comput] s(tw>e 7z def9$ 9 section #aig7;e77#c77;,b7771 or int]net access & relat$ s]vices1 if su* equipm5t1 s(tw>e1 or s]vices are to be us$ prim>ily by ! individual dur+ any ( ! ye>s ! individual is enroll$ at an eligible educational in/itution4 7ii7 ,doll> limit on am\nt cr$itable ,! aggregate ( ! am\nts paid or exp5ses incurr$ = comput] or p]iph]al equipm5t :i* may be tak5 into acc\nt "u ?is p>agraph = a taxable ye> by ! taxpay] %all n exce$ #a1jjj4 1 & 7#b7 9 subsection 7g77#e7-- 7,a7 9 ! head+1 by add+ or cr$it at ! end1 & 7,b7 by ins]t+ or cr$it aft] a d$uction4 7b7 ,effective date ,! am5dm5ts made by ?is section %all apply to taxable ye>s beg9n+ aft] ,decemb] #ca1 #bjbj4