Bill > HB27

This bill establishes an individual income tax exclusion for contributions made to a Kentucky Saves account, which is a type of qualified tuition program under Section 529 of the Internal Revenue Code, for taxable years beginning on or after January 1, 2027, and before January 1, 2031. It also creates a Kentucky Saves tax credit, which is a refundable credit for a portion of contributions made, with income limitations for eligibility. The bill defines "contribution" and "Kentucky Saves account," sets limits on the exclusion and credit amounts, and specifies that taxpayers cannot claim both the exclusion and the credit for the same taxable year. Additionally, it outlines the order in which the Kentucky Saves credit will be applied among other tax credits and requires the Department of Revenue to report annually on the usage of both the exclusion and the credit, including data broken down by income ranges.

Budget and Finance

https://apps.legislature.ky.gov/record/26RS/hb27.html