529 Rollover to SC Future Scholar Deduction

Forum|Forum|2 years ago
April 3, 2024
1 reply
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Making numbers simple, last year I rolled over $40k total (30K contributions plus 10K earnings) of PA 529 funds into the SC Future Scholar program. I know this rollover can be deducted from SC income, but is the full amount deductible 40k (contribution portion plus earnings) or only the contribution portion 30k? The instructions for line k are unclear:

Line k: Contributions to the SC College Investment Program (Future Scholar) or to the SC Tuition
Prepayment Program
You may deduct 100% of any contributions to the SC College Investment Program made between
January 1, 2023 and April 15, 2024.
You may deduct 100% of any contributions to the SC Tuition Prepayment Program made between
January 1, 2023 and December 31, 2023.

Best answer by AmyC

The full amount is rolled over and eligible. Perhaps a different link will soothe your mind. See South Carolina 529 Plan Rules And College Savings Options

AmyC

Employee

Yes, the full amount was rolled over and eligible. See SC1040 Instructions which state:

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trishbalAuthor

Thank you for the response. But technically, the "full amount" you mention is only $30k in contributions. The other $10k is (unrealized) earnings. That $10k is the amount I question adding in as a contribution. Looking to get clarification on that amount.

AmyCAnswer

Employee

The full amount is rolled over and eligible. Perhaps a different link will soothe your mind. See South Carolina 529 Plan Rules And College Savings Options

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