Bill > HR2852

This bill aims to modify existing tax laws to expand the Saver's Credit and Saver's Match for students by allowing individuals who are claimed as dependents on another taxpayer's return to qualify for these benefits. Specifically, the bill amends Section 25B of the Internal Revenue Code to remove restrictions that previously prevented full-time students from receiving the Saver's Credit, and similarly modifies Section 6433 to expand the Saver's Match eligibility. The Saver's Credit is a tax credit designed to encourage low- and moderate-income individuals to save for retirement by providing a credit for contributions to retirement accounts, while the Saver's Match (introduced in the SECURE 2.0 Act) provides a government matching contribution to retirement savings accounts. Under the current proposed changes, students who are claimed as dependents would now be able to receive these financial incentives, which could help young people start saving for retirement earlier and benefit from potential tax advantages. The amendments would apply to contributions made after the date of the Act's enactment, with the Saver's Match provisions being treated as if they were part of the original SECURE 2.0 Act of 2022.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/2852/all-info