Page:United States Statutes at Large Volume 111 Part 1.djvu/824

 Ill STAT. 800 PUBLIC LAW 105-34—AUG. 5, 1997 during any academic period beginning in such taxable year) as does not exceed $1,000, plus "(B) 50 percent of such expenses so paid as exceeds $1,000 but does not exceed the applicable limit. " (2) LIMITATIONS APPLICABLE TO HOPE SCHOLARSHIP CREDIT.— " (A) CREDIT ALLOWED ONLY FOR 2 TAXABLE YEARS.— An election to have this section apply with respect to any eligible student for purposes of the Hope Scholarship Credit under subsection (a)(1) may not be made for any taxable year if such an election (by the taxpayer or any other individual) is in effect with respect to such student for any 2 prior taxable years. " (B) CREDIT ALLOWED FOR YEAR ONLY IF INDIVIDUAL IS AT LEAST V2 TIME STUDENT FOR PORTION OF YEAR. — The Hope Scholarship Credit under subsection (a)(1) shall not be allowed for a taxable year with respect to the qualified tuition and related expenses of an individual unless such individual is an eligible student for at least one academic period which begins during such year. " (C) CREDIT ALLOWED ONLY FOR FIRST 2 YEARS OF POST- SECONDARY EDUCATION. — The Hope Scholarship Credit under subsection (a)(1) shall not be allowed for a taxable year with respect to the qualified tuition and related expenses of an eligible student if the student has completed (before the beginning of such taxable year) the first 2 years of postsecondary education at an eligible educational institution. "(D) DENIAL OF CREDIT IF STUDENT CONVICTED OF A FELONY DRUG OFFENSE. —The Hope Scholarship Credit under subsection (a)(1) shall not be allowed for qualified tuition and related expenses for the enrollment or attendance of a student for any academic period if such student has been convicted of a Federal or State felony offense consisting of the possession or distribution of a controlled substance before the end of the taxable year with or within which such period ends. "(3) ELIGIBLE STUDENT. —For purposes of this subsection, the term 'eligible student' means, with respect to any academic period, a student who— "(A) meets the requirements of section 484(a)(1) of the Higher Education Act of 1965 (20 U.S.C. 1091(a)(1)), as in effiect on the date of the enactment of this section, and "(B) is carrying at least V2 the normal full-time work load for the course of study the student is pursuing. "(4) APPLICABLE LIMIT.— For purposes of paragraph (1)(B), the applicable limit for any taxable year is an amount equal to 2 times the dollar amount in effect under paragraph (1)(A) for such taxable year, " (c) LIFETIME LEARNING CREDIT. — "(1) PER TAXPAYER CREDIT.— The Lifetime Learning Credit for any taxpayer for any taxable year is an amount equal to 20 percent of so much of the qualified tuition and related expenses paid by the taxpayer during the taxable year (for education furnished during any academic period beginning in

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