; and (B) is maintained for the purpose of generating income for the support of an institution of higher education. (5) Federal student loan The term Federal student loan means a loan made under this part. . 3. Program participation agreements Section 487(a) of the Higher Education Act of 1965 ( 20 U.S.C. 1094(a) ) is amended by adding at the end the following: (30) The institution will comply with the requirements of section 454A. . 4. Increased tax on net investment income of certain educational institutions with large endowments that increase tuition Section 4968 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection: (e) Increased tax on certain applicable educational institutions that increase tuition (1) In general In the case of any disqualified large applicable educational institution for any taxable year beginning after December 31, 2024, subsection (a) shall be applied by substituting 25 percent for 1.4 percent for such taxable year. (2) Disqualified large applicable educational institution For purposes of this subsection, the term disqualified large applicable educational institution means, with respect to any taxable year, any institution if— (A) such institution is an applicable educational institution for such taxable year, (B) the average tuition charged to full-time students for semesters during such taxable year exceeds the inflation adjusted base amount for such taxable year, and (C) the aggregate fair market value (determined as of the end of the preceding taxable year) of the assets of such institution (other than those assets which are used directly in carrying out the institution’s exempt purpose) equal or exceeds $2,500,000,000. (3) Inflation adjusted base amount For purposes of this subsection— (A) In general The term inflation adjusted base amount means, with respect to any applicable education institution for any taxable year which begins in any calendar year, the sum of— (i) the base amount of such institution, plus (ii) the product of— (I)