Lindsey O. Graham Sanctioning Russia and Iran Act of 2026

Effective date changed from taxable years beginning after December 31, 2024 to taxable years beginning after December 31, 2025, delaying the law's application by one year.

Expense qualification standard changed from expenses 'incurred' to expenses 'paid or incurred,' which could affect timing of when educators can claim the deduction.

A new definition of 'school' was added for early childhood education, requiring the facility to (1) provide educational or childcare services for more than 2 individuals who do not reside there and have not attained age 6, and (2) operate at public expense or receive a fee, payment, or grant for such services, regardless of whether operated for profit.

The codification target was narrowed from 'Section 62' to 'Section 62(d)(1),' and the amendment structure was reorganized into subparagraphs (A) and (B) with a separate conforming amendment subsection for the heading in Section 62(a)(2)(D).

The short title dropped 'of 2025,' removing the year from the act's name.