COLLEGE SAVINGS 101

Savingforcollege.com

7 states where you can still claim a prior-year 529 plan tax deduction
http://www.savingforcollege.com/articles/6-states-where-you-can-still-claim-a-prior-year-529-plan-tax-deduction-915

Updated: 2018-01-10

by Kathryn Flynn

State income tax deadlines are just around the corner, and if you havent filed your return yet you might be wondering if theres still time to reduce your taxable income. If you have future college tuition to pay, one idea is to make contributions to a 529 plan.

Currently over 30 states, including the District of Columbia offer a state tax deduction or credit for 529 plan contributions. The majority of these states offer tax benefits to residents who use their home states plan, but if you live in Arizona, Kansas, Minnesota, Missouri, Montana or Pennsylvania you can claim a deduction for contributions to any states 529 plan.

Most states have a December contribution deadline to qualify for prior year tax breaks, but here are seven that give you until mid-April. Click on the states name to find out more about the plans they offer.

RELATED: How much is your states 529 plan tax benefit really worth?

Georgia

  • State tax benefit:
  • Contributions and rollover contributions up to $2,000 per beneficiary each year are deductible from Georgia state income tax

  • Contributions must be made to a Georgia 529 plan in order to qualify
  • Deadline: April 17, 2018

Iowa

  • State tax benefit:
  • Contributions and rollover contributions up to $3,319 for a single return and up to $6,638 for a joint return, each making their own contributions, are deductible from Iowa state income tax. Eligible contributions must be made by the account owner.

  • Contributions must be made to an Iowa 529 plan in order to qualify
  • Deadline: May 01, 2018

Mississippi

  • State tax benefit:
  • Contributions and rollover contributions up to $10,000 for a single return and up to $20,000 for a joint return are deductible from Mississippi state income tax.

  • Contributions must be made to a Mississippi 529 plan in order to qualify
  • Deadline: April 17, 2018

Oklahoma

  • State tax benefit:
  • Contributions and rollover contributions up to $10,000 for a single return and up to $20,000 for a joint return are deductible from Oklahoma state income tax, with a five-year carryforward of excess contributions.

  • Contributions must be made to an Oklahoma 529 plan in order to qualify
  • Deadline: April 17, 2018

Oregon

  • State tax benefit: Contributions and rollover contributions up to $2,330 (for 2017) for a single return and up to $4,660 for a joint return are deductible from Oregon state income tax.
  • Contributions must be made to an Oregon 529 plan in order to qualify
  • Deadline: April 17, 2018

South Carolina

  • Contributions and rollover contributions are fully deductible from South Carolina state income tax.
  • Contributions must be made to a South Carolina 529 plan in order to qualify
  • Deadline: April 17, 2018

    Wisconsin

    • State tax benefit: Contributions and the principal portion of rollover contributions of up to $3,140 per beneficiary per year ($1,550 for those married filing separately or divorced), are deductible from Wisconsin state income tax. The principal portion of contributions above $3,140 may be carried forward until the total amount of contributions has been deducted.
  • Contributions must be made to a Wisconsin 529 plan to qualify.
  • Deadline: April 17, 2018

    RELATED: The 15 lowest-cost 529 plans

  • State income tax deadlines are just around the corner, and if you havent filed your return yet you might be wondering if theres still time to reduce your taxable income. If you have future college tuition to pay, one idea is to make contributions to a 529 plan.

    Currently over 30 states, including the District of Columbia offer a state tax deduction or credit for 529 plan contributions. The majority of these states offer tax benefits to residents who use their home states plan, but if you live in Arizona, Kansas, Minnesota, Missouri, Montana or Pennsylvania you can claim a deduction for contributions to any states 529 plan.

    Most states have a December contribution deadline to qualify for prior year tax breaks, but here are seven that give you until mid-April. Click on the states name to find out more about the plans they offer.

    RELATED: How much is your states 529 plan tax benefit really worth?

    Georgia

    • State tax benefit:
    • Contributions and rollover contributions up to $2,000 per beneficiary each year are deductible from Georgia state income tax

    • Contributions must be made to a Georgia 529 plan in order to qualify
    • Deadline: April 17, 2018

    Iowa

    • State tax benefit:
    • Contributions and rollover contributions up to $3,319 for a single return and up to $6,638 for a joint return, each making their own contributions, are deductible from Iowa state income tax. Eligible contributions must be made by the account owner.

    • Contributions must be made to an Iowa 529 plan in order to qualify
    • Deadline: May 01, 2018

    Mississippi

    • State tax benefit:
    • Contributions and rollover contributions up to $10,000 for a single return and up to $20,000 for a joint return are deductible from Mississippi state income tax.

    • Contributions must be made to a Mississippi 529 plan in order to qualify
    • Deadline: April 17, 2018

    Oklahoma

    • State tax benefit:
    • Contributions and rollover contributions up to $10,000 for a single return and up to $20,000 for a joint return are deductible from Oklahoma state income tax, with a five-year carryforward of excess contributions.

    • Contributions must be made to an Oklahoma 529 plan in order to qualify
    • Deadline: April 17, 2018

    Oregon

    • State tax benefit: Contributions and rollover contributions up to $2,330 (for 2017) for a single return and up to $4,660 for a joint return are deductible from Oregon state income tax.
    • Contributions must be made to an Oregon 529 plan in order to qualify
    • Deadline: April 17, 2018

    South Carolina

    • Contributions and rollover contributions are fully deductible from South Carolina state income tax.
  • Contributions must be made to a South Carolina 529 plan in order to qualify
  • Deadline: April 17, 2018

    Wisconsin

    • State tax benefit: Contributions and the principal portion of rollover contributions of up to $3,140 per beneficiary per year ($1,550 for those married filing separately or divorced), are deductible from Wisconsin state income tax. The principal portion of contributions above $3,140 may be carried forward until the total amount of contributions has been deducted.
  • Contributions must be made to a Wisconsin 529 plan to qualify.
  • Deadline: April 17, 2018

    RELATED: The 15 lowest-cost 529 plans

  •  

    Reset email successfully sent.
    Please check your inbox.

    Close

    Advertisement


    close