A bill to amend the Internal Revenue Code of 1986 to permit amounts paid for programs to obtain a recognized postsecondary credential or a license to be treated as qualified higher education expenses for purposes of a 529 account.

This bill allows tax-exempt distributions from qualified tuition programs (known as 529 plans) to be used for expenses required for programs to obtain a recognized postsecondary credential or occupational license.

A "recognized postsecondary credential" is a credential consisting of an industry-recognized certificate or certification, a certificate of completion of an apprenticeship, a license recognized by the state involved or federal government, or an associate or baccalaureate degree.