If you made a contribution to the 529 plan, you will be able to claim a subtraction from income. If you withdrew money from your 529 plan, you may have to add the withdrawal back to your income if it was not used for educational purposes.
What is the Idaho 529 plan?
IDeal is a 529 college savings plan designed to help individuals and families save for college in a tax-advantaged way.
What are the qualifications?
Eligible higher education expenses can include tuition, mandatory fees, books, supplies, computers and equipment required for enrollment or attendance; certain room and board costs during any academic period the beneficiary is enrolled at least half-time; and certain expenses for a special-needs student. Qualified K-12 tuition expenses are limited to up to $10,000 per year, per student at K-12 public, private and religious schools.
What are the limits?
For single filers: $6,000/yr
For joint filers: $12,000/yr
What about carryovers?
Yes – Rollovers are allowable from an IDeal account into an ABLE account.
What if I don’t use it for education expenses?
The earnings portion of a withdrawal not used for a beneficiary's qualified higher education expenses is subject to federal and state income taxes and may be subject to a 10% federal penalty tax.
- State Section
- Deductions from income
- Idaho College Savings Program