President Barack Obama's push to start taxing college-savings accounts, including the popular "529" accounts, would affect millions of Americans who are stashing money for their children's education, ...
President Barack Obama's proposal this week to roll back tax benefits for so-called 529 plans exposes a fundamental disagreement about who is benefiting from these state-sponsored college savings plans.
President Obama is pitching his new tax plan as a way to help the middle class at the expense of the rich. But middle-class savers are bound to notice if he achieves two of the White House’s stated goals—to “roll back” tax benefits of 529 college savings plans and “repeal tax incentives going forward” for Coverdell Education Savings Accounts.
Betty Lochner, chair of the College Savings Plans Network issued the following statement regarding the Achieving a Better Life Experience (ABLE) Act, legislation modeled after 529 college savings plans that would create tax-exempt savings accounts for certain disabled individuals: