Kansas has decided to give its residents tax breaks for investing in 529 college savings plans of their choice anywhere in the nation, not just Kansas. Beginning in 2007, individuals will be able to deduct up to $3,000 of personal income invested in a 529 plan, while married couples will be able to deduct $6,000.
"This bill equalizes college savings for Kansans who want more options when investing for their child's college education," said Kansas State Treasurer Lynn Jenkins. "I commend the Kansas State Legislature for being at the national forefront in providing tax parity. While I believe the Kansas Learning Quest college savings plan is competitive and well managed, Kansans won't be penalized if they choose another option that better meets their investment objectives."