Collegiate Learning and Student Savings (CLASS) Act - Permits private higher educational institutions, in addition to currently permitted State institutions, to establish qualified tuition programs. Excludes from gross income such program distributions used for qualified higher education expenses.
Provides that one rollover per year of amounts from one qualified tuition program to another for the benefit of the same beneficiary shall not be considered a distribution.
Includes first cousins as family members for purposes of qualified tuition programs.
Revises the definition of "qualified higher education expenses," including the exclusion of sport- or hobby-related courses unless taken as part of a degree program or to improve job skills.
Makes the exclusion from gross income of employer provided educational assistance permanent.
Repeals the current dollar limitation on the deduction for interest on educational loans provision and replace it with a limitation on such deduction based on modified adjusted gross income. Repeals the 60-month limitation period on the allowance of the interest deduction on such loans.
Eliminates the two percent floor on miscellaneous itemized deductions for the qualified professional development expenses of elementary and secondary school teachers.
Excludes from gross income certain amounts received under the National Health Corps Scholarship Program, the Armed Forces Health Professions Scholarship and Financial Assistance Program, the National Institutes of Health Undergraduate Scholarship Program, or similar State program.