(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) such base amount, multiplied by (II) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting calendar year 2023 for calendar year 2016 in subparagraph (A)(ii) thereof. (B) Base amount The term base amount means, with respect any applicable educational institution, the average tuition charged to specified students for semesters during calendar year 2024. (4) Application to new institutions In the case of any applicable educational institution not in existence at all times during calendar year 2024— (A) the base amount with respect to such institution shall be determined with respect to the first full calendar year for which such institution is in existence, (B) the inflation adjusted base amount shall be determined by using the calendar year preceding such first full calendar year as the year substituted in paragraph (3)(A)(ii)(II), and (C) paragraph (1) shall not apply to any taxable year beginning before the end of such first full calendar year. Notwithstanding the preceding sentence, if the average tuition charged by any applicable educational institution to specified students during the first full calendar year for which such institution is in existence is higher than such average for any of the 3 succeeding calendar years, the base amount and inflation adjusted base amount with respect to such institution shall be determined in such manner as the Secretary may provide. .