Dec. 31 is Deadline for 2016 Virginia529 Contributions
RICHMOND, Virginia – December 29, 2016 – The deadline for contributions to Virginia529 College Savings Plan (Virginia529) accounts to qualify for a 2016 state income tax deduction is approaching. Contributions must be made by December 31, 2016 to be deductible for the 2016 tax year.
Individuals, parents and other family members can start or add to Virginia529 accounts to take advantage of the state tax deduction. Virginia tax law allows Virginia taxpayers to deduct contributions up to $4,000 per account in a single year from their state individual income tax; excess contributions may be deducted in subsequent years. Account owners age 70 and above (by December 31) may deduct all Virginia529 account contributions made in a year.
Only the account owner qualifies for the deduction, so family members such as grandparents may choose to open their own accounts for tax purposes.
Visit Virginia529.com to learn about the tax benefits of saving for higher education with Virginia529.