Are 529 contributions tax deductible in Tennessee?
No. According to the Tennessee Department of Revenue(DOR), "Tennessee does not offer a tax deduction or credit for distributions from a 529 Plan."
What is the TNStars College savings 529 Program?
What is TNStars College Savings 529 Program? TNStars is designed to give Tennessee families high quality investment options at a low cost to help them put aside money for higher education expenses.
What are the tax benefits of 529 plan?
529 Plan Tax Benefit and Advantages
- Tax-Deferred Growth — Contributions grow free of federal and state income taxes while in the account.
- Tax-Free 529 Withdrawals — No income tax is paid on the growth of your account when withdrawals are used for qualified expenses.
Does Tennessee offer a 529 plan?
The Tennessee Department of Treasury launched TNStars, Tennessee's own 529 College Savings Program, in order to help more Tennesseans achieve the level of education necessary for a successful career.