To amend the Internal Revenue Code of 1986 to provide for the establishment of, and the deduction of contributions to, education savings accounts.

Summary

Amends the Internal Revenue Code to allow an individual income tax deduction for contributions to a savings account established to pay the educational expenses (tuition, supplies, meals, and lodging) of the taxpayer's child or certain other relatives at an institution of higher education or a vocational school. Limits the deduction to $1,500 annually (adjusted for inflation) for each account. Disallows the deduction for contributions to an account maintained for any individual aged 19 or older. Requires any account balance to be distributed after the beneficiary attains age 30. Excludes from gross income any account distributions that are: (1) used to pay educational expenses of the eligible beneficiary; or (2) transferred within 60 days to an individual retirement account. Exempts an account from taxation (except for the tax on unrelated business income of a charitable organization), unless a contributor or the beneficiary engages in specified prohibited transactions in connection with it. Imposes a ten percent surtax on distributions not used for educational purposes. Requires the account trustee to report to the Secretary of the Treasury and to the account's beneficiary concerning the account. Imposes a penalty for failure to report. Allows taxpayers who do not otherwise itemize deductions to deduct for contributions to an education savings account. Imposes penalty taxes in connection with excess contributions or prohibited transactions associated with an account. Exempts from contribution limitations any distributions from education savings accounts into individual retirement accounts. Excludes from gross income distributions from individual retirement accounts into education savings accounts.

This text is taken from the official record. PoliticalRepo does not editorialize.

Timeline

1. 2 November 1989

   Introduced

   Referred to the House Committee on Ways and Means.

   Source: IntroReferral

2. 2 November 1989

   Introduced

   Introduced in House

   Source: IntroReferral

3. 2 November 1989

   Introduced

   Introduced in House

   Source: IntroReferral

Votes

No vote records are attached yet.

Versions

• Introduced in House · — · Download file

Documents

2 official files

• Introduced in House (text)

  Introduced in House · EN

  ViewDownloadOpen at official source

• Introduced in House

  summary · EN · 2 November 1989

  Open at official source

  Leesvertaling

  Vertaal dit document naar jouw taal. PoliticalRepo bewaart geen aparte kopie per EU-taal.

  Vertaal naarNL · DutchDE · GermanFR · FrenchES · SpanishIT · ItalianPL · PolishPT · PortugueseSV · SwedishDA · DanishFI · FinnishEL · GreekCS · CzechHU · HungarianRO · RomanianBG · BulgarianHR · CroatianSK · SlovakSL · SlovenianLT · LithuanianLV · LatvianET · EstonianGA · IrishMT · Maltese

  Vertaal document

  Documentvertaling op verzoek met downloadbare PDF (logo + link naar de officiële bron). Het bronbestand blijft leidend.

Sponsors

• Rep. Gillmor, Paul E. [R-OH-5] · R · Sponsor
• Rep. Bereuter, Doug [R-NE-1] · R · Cosponsor
• Rep. Campbell, Tom [R-CA-15] · R · Cosponsor
• Rep. Cox, Christopher [R-CA-48] · R · Cosponsor
• Rep. Erdreich, Ben [D-AL-6] · D · Cosponsor
• Del. Faleomavaega, Eni F. H. [D-AS-At Large] · D · Cosponsor
• Rep. Frost, Martin [D-TX-24] · D · Cosponsor
• Rep. James, Craig T. [R-FL-4] · R · Cosponsor
• Rep. Livingston, Bob [R-LA-1] · R · Cosponsor
• Rep. Nielson, Howard C. [R-UT-3] · R · Cosponsor
• Rep. Paxon, Bill [R-NY-27] · R · Cosponsor
• Rep. Rohrabacher, Dana [R-CA-48] · R · Cosponsor
• Rep. Smith, Peter [R-VT-At Large] · R · Cosponsor
• Rep. Traficant, James A., Jr. [D-OH-17] · D · Cosponsor
• Rep. Shumway, Norman D. [R-CA-14] · R · Cosponsor
• Rep. Walsh, James T. [R-NY-25] · R · Cosponsor
• Rep. Saiki, Patricia [R-HI-1] · R · Cosponsor
• Rep. Skeen, Joe [R-NM-2] · R · Cosponsor
• Rep. Chapman, Jim [D-TX-1] · D · Cosponsor
• Rep. Herger, Wally [R-CA-2] · R · Cosponsor
• Rep. Packard, Ron [R-CA-48] · R · Cosponsor
• Rep. Roe, Robert A. [D-NJ-8] · D · Cosponsor
• Rep. Smith, Denny [R-OR-5] · R · Cosponsor
• Sen. Craig, Larry E. [R-ID] · R · Cosponsor
• Rep. Miller, John R. [R-WA-1] · R · Cosponsor
• Rep. Goss, Porter J. [R-FL-14] · R · Cosponsor
• · hswm00 · Standing

Related records

No cross-record relationships stored yet.