Have You Received a Refund of Qualified Higher Education Expenses?

During this COVID-19 pandemic, if you’ve received a refund of tuition, housing, meal plans, or any other qualified higher education expense from a qualified institution that was originally paid out from your 529 plan, you may re-contribute those funds tax and penalty-free to any 529 plan/qualified tuition program for the same beneficiary.

Generally, the re-contribution must be made within 60 days of the refund date. However, under temporary IRS guidance issued as a result of the pandemic, if that 60-day period ends on or after April 1, 2020 and before July 15, 2020, then the re-contribution can be made any time before the later of July 15, 2020 or 60 days after the refund date.

Please contact our office if you have any questions or need further clarification.

We’re working hard to keep you informed on all the changes coming through…so stay tuned and stay well!

Santora CPA Group
Call us 302-737-6200