EXPANSION OF HOPE SCHOLARSHIP AND LIFETIME LEARNING CREDIT FOR STUDENTS IN THE GULF OPPORTUNITY ZONE.

SEC. 102. EXPANSION OF HOPE SCHOLARSHIP AND LIFETIME LEARNING CREDIT FOR STUDENTS IN THE GULF OPPORTUNITY ZONE.(a) In General.—Part II of subchapter Y of chapter 1 (as added by this Act) is amended by adding at the end the following new section:“SEC. 1400O. EDUCATION TAX BENEFITS. “In the case of an individual who attends an eligible educational institution (as defined in section 25A(f)(2)) located in the Gulf Opportunity Zone for any taxable year beginning during 2005 or 2006—“(1) in applying section 25A, the term ‘qualified tuition and related expenses’ shall include any costs which are qualified higher education expenses (as defined in section 529(e)(3)),“(2) each of the dollar amounts in effect under of subparagraphs (A) and (B) of section 25A(b)(1) shall be twice the amount otherwise in effect before the application of this subsection, and“(3) section 25A(c)(1) shall be applied by substituting ‘40 percent’ for ‘20 percent’.” .(b) Conforming Amendment.—The table of sections for part II of subchapter Y of chapter 1 is amended by adding at the end the following new item: “Sec. 1400O. Education tax benefits.”.