A bill to amend the Internal Revenue Code of 1954 with respect to the tax-exempt status of, and the deductibility of contributions to, certain private schools.

Provides for the tax exempt status of private schools and the deductibility of contributions made to private schools under the Internal Revenue Code if the private school maintains a regular faculty, curriculum, and pupil enrollment and does not have a degree of involvement with a State or political subdivision so as to constitute State action regardless of the admission policies, admission requirements or composition of the student body and faculty of the school.

Declares that the tax exempt status and deductibility of contributions is lost if a United States Court declares that because of admission policies or student body or faculty composition, the school violates the Constitution or laws of the United States.