Tax Advantaged

Tax advantages are with you every step of the way.

With a Path2College 529 Plan account, any earnings in your account are free from federal income taxes when used for qualified higher education expenses. Then, when it's time for college, the money you withdraw for qualified higher education expenses is also tax-free.

Contributions and Earnings Used to Pay for Qualified Higher Education Expenses Are Federal and Georgia State Income Tax Free

Contributions and earnings on any withdrawals used to pay for qualified higher education expenses will be free from federal and Georgia state income tax. This federal income tax-free treatment of qualified withdrawals and other federal tax benefits are permanently in place for 529 plans through the passage of the Pension Protection Act of 2006.

State Income Tax Deduction

Effective with the 2007 tax year, all Georgia taxpayers may now contribute and deduct up to $2,000 each year on behalf of any beneficiary regardless of their annual income. Georgia taxpayers are not required to itemize deductions to make this adjustment to income. Please note that a transfer of funds from another state's 529 plan is not eligible for the Georgia income tax deduction. Georgia tax forms refer to the Path2College 529 Plan as "Georgia Higher Education Savings Plan" (GHESP); the Path2College 529 Plan is established by the GHESP.

Contributions made during the tax year, or before the following year's federal tax filing deadline are eligible for the deduction. State tax benefits offered in connection with the Path2College 529 Plan are available only to Georgia taxpayers. You should consult with a qualified tax advisor regarding the application of Georgia state tax benefits to your particular circumstances. Recapture provisions may apply.

Federal Estate and Gift Tax Benefits

Contributions to the Path2College 529 Plan may reduce the taxable value of your estate. Contributions to the Path2College 529 Plan, together with all other gifts from the account owner to the beneficiary, may qualify for an annual federal gift tax exclusion of $12,000 per donor, per beneficiary for 2007. If an account owner's contribution to a Path2College 529 Plan account for a beneficiary in a single year exceeds $12,000, the account owner may elect to treat up to $60,000 of the contributions, or $120,000 for joint filers, as having been made over a period of up to five years for federal gift tax exclusion.

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Create an Account Log On My 411 Tax Advantaged Low Cost Flexible Managed By A Leading Financial Services Provider Easy Access to Account Information Ask an Expert	Tax Advantaged Tax advantages are with you every step of the way. With a Path2College 529 Plan account, any earnings in your account are free from federal income taxes when used for qualified higher education expenses. Then, when it's time for college, the money you withdraw for qualified higher education expenses is also tax-free. Contributions and Earnings Used to Pay for Qualified Higher Education Expenses Are Federal and Georgia State Income Tax Free Contributions and earnings on any withdrawals used to pay for qualified higher education expenses will be free from federal and Georgia state income tax. This federal income tax-free treatment of qualified withdrawals and other federal tax benefits are permanently in place for 529 plans through the passage of the Pension Protection Act of 2006. State Income Tax Deduction Effective with the 2007 tax year, all Georgia taxpayers may now contribute and deduct up to $2,000 each year on behalf of any beneficiary regardless of their annual income. Georgia taxpayers are not required to itemize deductions to make this adjustment to income. Please note that a transfer of funds from another state's 529 plan is not eligible for the Georgia income tax deduction. Georgia tax forms refer to the Path2College 529 Plan as "Georgia Higher Education Savings Plan" (GHESP); the Path2College 529 Plan is established by the GHESP. Contributions made during the tax year, or before the following year's federal tax filing deadline are eligible for the deduction. State tax benefits offered in connection with the Path2College 529 Plan are available only to Georgia taxpayers. You should consult with a qualified tax advisor regarding the application of Georgia state tax benefits to your particular circumstances. Recapture provisions may apply. Federal Estate and Gift Tax Benefits Contributions to the Path2College 529 Plan may reduce the taxable value of your estate. Contributions to the Path2College 529 Plan, together with all other gifts from the account owner to the beneficiary, may qualify for an annual federal gift tax exclusion of $12,000 per donor, per beneficiary for 2007. If an account owner's contribution to a Path2College 529 Plan account for a beneficiary in a single year exceeds $12,000, the account owner may elect to treat up to $60,000 of the contributions, or $120,000 for joint filers, as having been made over a period of up to five years for federal gift tax exclusion. PDF files require the free Adobe Acrobat Reader. Get it here.
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GAcollege411 Partners Copyright © XAP Corporation. All rights reserved. XAP and Mentor are registered trademarks of XAP Corporation. Reg. U.S. Pat. & TM Off. Use of this website constitutes acceptance of the XAP Terms of Use and Privacy Policy .