II

105TH CONGRESS

2D SESSION S. 1724

To amend the Internal Revenue Code of 1986 to repeal the information

reporting requirement relating to the Hope Scholarship and Lifetime

Learning Credits imposed on educational institutions and certain other

trades and businesses.

IN THE SENATE OF THE UNITED STATES

MARCH 6, 1998

Ms. COLLINS (for herself, Mr. DEWINE, Mr. BOND, Mr. ENZI, Mr. FAIRCLOTH, Mr. HATCH, Mr. HELMS, Mrs. HUTCHISON, Mr. ROBERTS, and

Mr. SMITH of Oregon) introduced the following bill; which was read twice

and referred to the Committee on Finance

A BILL

To amend the Internal Revenue Code of 1986 to repeal

the information reporting requirement relating to the

Hope Scholarship and Lifetime Learning Credits imposed on educational institutions and certain other trades

and businesses.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Higher Education Re5 porting Relief Act’’.
2

•S 1724 IS

1 SEC. 2. INFORMATION REPORTING REQUIREMENT RELAT2 ING TO HOPE SCHOLARSHIP AND LIFETIME

3 LEARNING CREDITS.

4 (a) REPEAL OF REQUIREMENT TO SUBMIT INFOR5 MATION RETURN.—Section 6050S of the Internal Reve6 nue Code of 1986 (relating to returns relating to payments

7 for qualified tuition and related expenses) is repealed.

8 (b) REQUIREMENT FOR TAXPAYER TO PROVIDE

9 IDENTIFYING INFORMATION.—Subsection (g) of section

10 25A of such Code (relating to special rules) is amended

11 by adding at the end the following new paragraph:

12 ‘‘(8) IDENTIFYING INFORMATION REQUIRED

13 WITH RESPECT TO EDUCATIONAL INSTITUTION.—No

14 credit shall be allowed under subsection (a) with re15 spect to qualified tuition and related expenses paid

16 to an eligible educational institution unless—

17 ‘‘(A) the name, address, and taxpayer

18 identification number of such institution is in19 cluded on the return claiming the credit, or

20 ‘‘(B) if such institution is an organization

21 described in section 501(c)(3) and exempt from

22 tax under section 501(a), the name and address

23 of such institution is included on the return

24 claiming the credit.’’

25 (c) CONFORMING AMENDMENTS.—
3

•S 1724 IS

1 (1) The heading for paragraph (1) of section

2 25A(g) of such Code is amended to read as follows:

3 ‘‘IDENTIFICATION REQUIREMENT WITH RESPECT TO

4 INDIVIDUAL FOR WHOM EXPENSES PAID.—’’.

5 (2) Subparagraph (B) of section 6724(d)(1) of

6 such Code (relating to definitions of information re7 turn) is amended by striking clause (ix) and by re8 designating clauses (x) through (xv) as clauses (ix)

9 through (xiv), respectively.

10 (3) Paragraph (2) of section 6724(d) of such

11 Code is amended by inserting ‘‘or’’ at the end of the

12 subparagraph (X), by striking ‘‘, or’’ at the end of

13 subparagraph (Y) and inserting a period, and by

14 striking subparagraph (Z).

15 (d) CLERICAL AMENDMENT.—The table of sections

16 for subpart B of part III of subchapter A of chapter 61

17 of such Code is amended by striking the item relating to

18 section 6050S.

19 (e) EFFECTIVE DATE.—The amendments made by

20 this section shall apply to expenses paid after December

21 31, 1997, for education furnished in academic periods be22 ginning after December 31, 1997.

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