|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PARRIS N. GLENDENING, Governor
|
|
S.B. 383
|
|
|
|
|
|
|
|
|
|
|
|
|
|
10-205.
(h) (1) (i) In this subsection the following words have the meanings
indicated.
(ii) "Contributor" and "qualified designated beneficiary" have the
meanings stated in § 18-19A-01 of the Education Article.
(iii) "Purchaser" and "qualified beneficiary" have the meanings
stated in § 18-1901 of the Education Article.
(iv) "Qualified higher education expenses" has the meaning stated
in § 529 of the Internal Revenue Code, "QUALIFIED TUITION PROGRAM" HAS THE
MEANING STATED IN § 529 OF THE INTERNAL REVENUE CODE.
(2) [The] EXCEPT AS OTHERWISE PROVIDED IN THIS SUBSECTION, THE
addition under subsection (a) of this section includes the amount of:
(i) any refund received in the taxable year by a purchaser under a
prepaid contract in accordance with the Maryland Prepaid College Trust or a
contributor under an investment account in accordance with the Maryland College
Investment Plan; or
(ii) any distribution received in the taxable year by a purchaser
under a prepaid contract in accordance with the Maryland Prepaid College Trust or a
contributor under on investment account in accordance with the Maryland College
Investment Plan that is not used on behalf of the qualified beneficiary or qualified
designated beneficiary for qualified higher education expenses.
(3) THE ADDITION REQUIRED UNDER THIS SUBSECTION DOES NOT
INCLUDE ANY AMOUNT THAT:
(I) QUALIFIES FOR TREATMENT AS A TAX FREE ROLLOVER UNDER
§ 529(C)(3)(C) OF THE INTERNAL REVENUE CODE; AND
(II) IS TRANSFERRED TO ANOTHER QUALIFIED TUITION PROGRAM
ESTABLISHED BY THIS STATE FOR THE BENEFIT OF THE QUALIFIED BENEFICIARY
OR QUALIFIED DESIGNATED BENEFICIARY OR FOR THE BENEFIT OF ANOTHER
BENEFICIARY WHO, WITHIN THE MEANING OF § 529 OF THE INTERNAL REVENUE
CODE, IS A MEMBER OF THE FAMILY OF THE ORIGINAL QUALIFIED BENEFICIARY OR
QUALIFIED DESIGNATED BENEFICIARY ANY DISTRIBUTION FROM A QUALIFIED
TUITION PROGRAM OTHER THAN:
(I) A DISTRIBUTION FOR QUALIFIED HIGHER EDUCATION
EXPENSES, WITHIN THE MEANING OF § 529(C)(3)(B) OF THE INTERNAL REVENUE
CODE; OR
(II) A DISTRIBUTION THAT IS A ROLLOVER OR CHANGE IN
DESIGNATED BENEFICIARIES. WITHIN THE MEANING OF § 529(C)(3)(C) OF THE
INTERNAL REVENUE CODE.
|
|
|
|
|
|
|
|
|
|
- 4553 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
 |
