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.

Allows a tax credit against an individual's Federal income tax for a portion of the expenses of higher education paid by him for his own or any other individual's education.

Limits such tax credit to: (1) 75 percent of so much of such expenses as does not exceed $200; (2) 25 percent of so much of such expenses as exceeds $200 but does not exceed $500; and (3) 10 percent of so much of such expenses as exceeds $500 but does not exceed $1,500.

Provides for a proration of the tax credit where more than one taxpayer pays the educational expenses, and a reduction of the tax credit equal to 1 percent of the amount by which the adjusted gross income of the taxpayer for the taxable year exceeds $25,000.

Specifies allowable expenses of higher education for purposes of this Act. (Amends 26 U.S.C. 39)