Bill > HB1272

This bill modifies provisions related to qualified tuition programs (also known as 529 plans) in Missouri, focusing on tax exemptions and contributions. The bill ensures that assets and income from these educational savings programs remain exempt from state and local taxation, including income earned from the programs or refunds of qualified education expenses that are recontributed within 60 days of withdrawal. Taxpayers can deduct annual contributions up to $8,000 for individual filers and $16,000 for married couples filing jointly when calculating Missouri adjusted gross income. If funds from these programs are distributed and not used for qualified education expenses, are not transferred according to specific IRS guidelines, or are not held for the minimum required time, the distributed amount will be included in the participant's (or beneficiary's) Missouri adjusted gross income. The tax provisions apply to tax years beginning on or after January 1, 2008, with specific provisions for deposit programs applying to tax years starting on or after January 1, 2004. The changes aim to provide financial incentives and tax benefits for individuals saving for educational expenses through these state-sponsored programs.

Education, Government Affairs

https://house.mo.gov/Bill.aspx?bill=HB1272&year=2025&code=R