School The term school means any school which provides elementary education or secondary education (kindergarten through grade 12), as determined under State law. (C) Qualified higher education expenses (i) In general The term qualified higher education expenses means— (I) tuition, fees, books, supplies, and equipment required for the enrollment or attendance of a designated beneficiary at an eligible educational institution, and (II) expenses for special needs services in the case of a special needs beneficiary which are incurred in connection with such enrollment or attendance. (ii) Room and board included for students who are at least half-time In the case of an individual who is an eligible student (as defined in section 25A(b)(3)) for any academic period, such term shall also include reasonable costs for such period (as determined under the qualified tuition program) incurred by the designated beneficiary for room and board while attending such institution. For purposes of subsection (b)(6), a designated beneficiary shall be treated as meeting the requirements of this clause. (iii) Limitation on room and board included for students who are at least half-time The amount treated as qualified higher education expenses by reason of clause (ii) shall not exceed— (I) the allowance (applicable to the student) for room and board included in the cost of attendance (as defined in section 472 of the Higher Education Act of 1965 ( 20 U.S.C. 1087ll ), as in effect on the date of the enactment of the Economic Growth and Tax Relief Reconciliation Act of 2001) as determined by the eligible educational institution for such period, or (II) if greater, the actual invoice amount the student residing in housing owned or operated by the eligible educational institution is charged by such institution for room and board costs for such period. . (b) Conforming amendments (1) Section 72(t)(7)(A) of such Code is amended by striking 529(e)(3) and inserting 529(e)(3)(C) . (2) Section 529(c)(3)(B) of such Code is amended by striking