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Section 529 Savings Plans Assignment | Homework For You

Author:
June 9th, 2020
All of the following statements concerning Section 529 Savings Plans are correct EXCEPT:Homework For You
The primary benefit of a 529 Savings plan is the state income tax deduction for contributions.
Contributions are recognized on a five-year pro rata basis.
Earnings grow on a tax deferred basis, unless used for qualified education expenses, and then distributions are tax free.
Earnings are included in gross income and a 10% penalty is assessed if distributions are not used for qualified education expenses.Get Finance homework help today

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