A bill to amend the Internal Revenue Code of 1954 to permit a taxpayer to deduct certain expenses paid by him in connection with his education, or the education of any of his dependents at an institution of higher learning.

Allows an income tax deduction under the Internal Revenue Code for amounts paid by the taxpayer during the taxable year for educational expenses which are incurred in connection with the education at an institution of higher education of the taxpayer, his spouse, or any individual with repsect to whom the taxpayer is entitled to an exemption.

Reduces the deduction allowable by the amounts of any scholarships and/or education and training allowances from the Veterans' Administration. Amends 26 U.S.C. 218)