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529 News

Governor signs fixes to Idaho 529 plan

(February 17, 2003) - House Bills 68 & 69 were passed and signed by the Governor last week. The
most important change is the elimination of the 200% penalty on the earnings for non-qualified withdrawals. This penalty was actually an inadvertant mistake and was never implemented. Additionally, Idaho eliminated the 10% penalty on the earnings of nonqualified withdrawals - now that the Federal penalty is in place. Finally, the legislation allows the plan to more easily conform to any future changes in the federal code.

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