Question

Maryland 529 contribution deduction

Forum|Forum|5 years ago
February 21, 2021
1 reply
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My husband and I have two children and we each have a 529 account for each child (4 accounts total). We contributed a total of $12453 across all 4 accounts in 2020. TurboTax says we can deduct "up to $2500 per contributor per beneficiary". Does that mean we can deduct $2500 per child per parent (for a total of $10000) or is it limited to $2500 per contributor (for a total deduction of $5000)?

We are married filing jointly and this is a Maryland College Investment Plan, NOT the Maryland Prepaid College Trust plan.

Thanks.

A

AnnetteB6

The wording '$2500 per year per beneficiary' would mean a total of $10,000 may be deductible on your Maryland state tax return -- $5000 per beneficiary since both taxpayer and spouse are contributing.

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