Sen. Evan Bayh supports giving middle-class Hoosier families a slightly larger tax break to help pay for college education.

A bill expected to be introduced this week would increase by $500 the tax credit eligible families receive and would simplify the process to apply for the credit. About 200,000 Indiana families would be eligible for the credit, which combines several existing programs.

Higher education is becoming too expensive for the middle class, Bayh said during a brief stop Monday in Fort Wayne.

Bayh wants to open doors to college education, which he said is essential in today's working world. People with solid skills can find better jobs and pay their taxes. But the rising costs of tuition and other college-related expenses leave students in debt after graduation, which could keep people from buying homes and taking other financial steps, he said.

Between 2001 and 2006, private school tuition increased 28 percent and public colleges and universities' tuition increased 55 percent. Two-year public schools saw a tuition increase of about 41 percent during that same time period.

Under the proposed tax breaks, married couples or those filing joint returns and earning less than $140,000 would be eligible and those filing single returns and earning $70,000 or less would also be eligible. The maximum credit is $2,500 per child per year and up to three children per family.

The actual credit is based on the families' income and education costs on a sliding scale. Several existing tax credits are based on a lower percentage of the tuition and related costs and the credits phase out at lower income levels than the proposed plan. One cannot be used for graduate school and another is on a per-family basis rather than per student.

The proposed combined tax credit calls for families to spend at least $5,500 per student per year in higher education expenses including tuition and a portion of the cost of books for four years. Tuition at most Indiana public universities costs more than that, Bayh said.

Through a current tax credit program, Indiana Tech student Amy Kallaher expects to see an $1,120 tax refund. With the proposed tax break, she would be eligible for the full $2,500, she said.

Receiving an extra $1,380 a year would be a big help to her family, she said.

Kallaher attends Indiana Tech full time and has two sons in elementary school. She started college in 1998 and tried paying for her education with cash. She took a few years off because her family couldn't afford it. Now Kallaher has several loans to help pay for her education.

The current process to take advantage of the tax break is confusing with a 90-page manual to explain it all. The proposed tax breaks and streamlined process provide a simple way to determine what she'll get back each year for going to school, Kallaher said.

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