Helping people help themselves -- Iowa ABLE Accounts

David Repp Iowa Taxation Law Dickinson Law Firm Des Moines, IA

Posted on 03/02/2017 at 12:00 AM by David Repp

In 2014, Congress enacted ABLE which stands for Achieving a Better Life Experience. The Act allows States to adopt enabling legislation to allow people with disabilities to control an account funded by friends and family without disqualifying the individual from Medicaid and other government welfare benefits. Iowa adopted such enabling legislation and accounts can be created for an individual with disabilities at the State Treasurer’s office:  https://www.iable.gov/

Contributions are limited to a total of $14,000 per year per account.  So this means that an ABLE account set up for Casey Jones can only have contributions of $14,000 per year contributed to it. If there are multiple donors to Casey’s account, the total contributions in a year must not exceed $14,000. Iowa residents who make a contribution to an ABLE account can deduct up to $3,239 of such contribution. Earnings on the account (through the Iowa Treasurer’s office) are not taxed.

The material in this blog is not intended, nor should it be construed or relied upon, as legal advice. Please consult with an attorney if specific legal information is needed.

Categories: David Repp, Taxation Law

 

Questions, Contact us today.

 


The material, whether written or oral (including videos) that is posted on the various blogs of Dickinson Law is not intended, nor should it be construed or relied upon, as legal advice. The opinions expressed in the various blog posting are those of the individual author, they may not reflect the opinions of the firm.  Your use of the Dickinson Law blog postings does NOT create an attorney-client relationship between you and Dickinson, Mackaman, Tyler & Hagen, P.C. or any of its attorneys.  If specific legal information is needed, please retain and consult with an attorney of your own selection.

Comments
There are no comments yet.
Add Comment

* Indicates a required field