HB274 Alabama 2015 Session

Summary

Primary Sponsor

Ken Johnson

Republican

Session

Regular Session 2015

Title

Wallace-Folsom College Savings Investment Plan, named changed to Wallace-Folsom Savings Investment Plan, provide the Achieving a Better Life Experience (ABLE) program, definitions relating to ABLE, provide tax exemptions, appropriations for development of ABLE program, Secs. 16-33C-1, 16-33C-2, 16-33C-2.1, 16-33C-3, 16-33C-4, 16-33C-5, 16-33C-10, 16-33C-11, 16-33C-12, 40-18-19 am'd.

Description

Currently, the State of Alabama's college savings program pursuant to Section 529 of the Internal Revenue Code of 1986, as amended, is the Wallace-Folsom College Savings Investment Plan that consists of the Alabama College Education Savings (ACES) Program and the Alabama Prepaid Affordable College Tuition (PACT) Program to assist individuals in paying costs and expenses of attending colleges and universities. Recently, the Achieving a Better Life Experience (ABLE) Act of 2014 established Section 529A of the Internal Revenue Code of 1986, as amended, to allow families and individuals to save for disability-related expenses of a disabled individual in a federal tax-advantaged account modeled after Section 529 of the Internal Revenue Code of 1986, as amended, to be established and maintained by the state.

This bill would include ABLE in the legislative intent; rename the Wallace-Folsom College Savings Investment Plan to the Wallace-Folsom Savings Investment Plan; to provide for the ABLE Program; provide for definitions relating to the ABLE Program; would provide for the income tax exemption eligible to the ABLE Program; and provide appropriations for Fiscal Year 2015 for development and implementation of the ABLE Program.

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Subjects

Wallace-Folsom College Savings Investment Plan