SB 6 Income tax deduction for College Savings

SIFMA provides Comments to the House Ways and Means Committee on SB 6 Income tax deduction for college savings. SB 6 would increase the maximum state income tax deduction for contributions to a college savings programs created under Chapter 3334 of Ohio’s Revised Code. SIFMA strongly believes that such savings incentives are vital to ensure that every young Ohioan is able to receive a quality education, and that providing savers the ability to choose the best-fitting college savings plan is a key component of these efforts.

SIFMA requested the consideration of the following language, to be included after “Chapter 3334 of the Revised Code” on page 1, line 14: “… or to any qualified tuition program as provided in section 529(b)(1) of the Internal Revenue Code of 1986, as amended …” This would permit the state tax deduction for college savings plan contributions to apply to all Ohioans, regardless of which 529 plan they choose to utilize in saving for future education costs.

See also: Senate Bill 6