Section 1 Deduction for contributions to 529 plan
In general— Section 529 of the Internal Revenue Code of 1986 is amended by redesignating subsection (f) as subsection (g) and by inserting after subsection (e) the following new subsection:
“(f) Deduction for contributions
“(1) In general—In the case of an eligible individual, there shall be allowed as a deduction for the taxable year an amount equal to so much of the sum of the aggregate contributions made to a qualified tuition program as does not exceed $10,000.
“(2) Eligible individual—For purposes of this subsection, the term “eligible individual” means an individual whose adjusted gross income for the taxable year does not exceed $200,000.”
Effective date— The amendments made by this section shall apply to amounts contributed after the date of the enactment of this Act.