Effective for tax years beginning after 2016, the legislation allows personal income taxpayers to subtract up to $1,500 ($3,000 for married joint filer) of contributions to any state’s Sec. 529 college savings plan or prepaid tuition plan. The subtraction excludes amounts that are rolled-over from other college savings plans and is limited to taxpayers who do not claim the new Sec. 529 savings credit plan.
Subtraction For Contributions to 529 Plans
December 19, 2019 by