Census Bureau). (C) Applicable education loan For purposes of subparagraph (A)(iii), the term applicable education loan means, with respect to any individual, a qualified education loan (as defined in section 221(d)(1)) incurred to pay qualified higher education expenses (as defined in section 221(d)(2)) of such individual. . (c) Amount not treated as taxable expenditure by private foundation Section 4945(g) of such Code is amended by striking or at the end of paragraph (2), by striking the period at the end of paragraph (3) and inserting , or , and by adding at the end the following new paragraph: (4) the grant is a post-graduation scholarship grant (as defined in section 117(b)(2)). . (d) Denial of double benefit Section 221(e) of such Code is amended by redesignating paragraphs (2) and (3) as paragraphs (3) and (4), respectively, and by inserting after paragraph (1) the following new paragraph: (2) Denial of double benefit in case of post-graduation scholarship grants Any interest which is paid as part of a post-graduation scholarship grant and excluded from gross income under section 117 shall not be taken into account under this section. . (e) Regulatory authority Section 117 of such Code is amended by adding at the end the following new subsection: (e) Regulations The Secretary shall prescribe such reporting requirements and regulations as may be necessary or appropriate to carry out subsection (a)(2), including— (1) regulations defining under what conditions an individual is considered to live and work in a community for purposes of subsection (b)(2)(A)(2), and (2) regulations to ensure the implementation and effectiveness of such subsection. . (f) Effective date The amendments made by this section shall apply with respect to taxable years beginning after the date of enactment of this Act. (g) Reports (1) Secretary of Treasury Not later than 3 years after the date of the enactment of this Act, and periodically thereafter, the Secretary of the Treasury, or the Secretary's delegate, shall submit to Congress