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Attorney General Asked for Opinion on 529 Savings Plans

Mar 30, 2018

Governor Rick Snyder and State Treasurer Nick Khouri sent a letter to Attorney General Bill Schuette seeking guidance on recently enacted federal tax law reforms that expand college savings plans to include elementary or secondary public, private, or religious school expenses.

Due to the federal changes to the Internal Revenue Code, Michigan is requesting a formal opinion by the A.G. to determine whether expanding the state’s 529 savings plans to include private K-12 expenses with state income tax benefits would be in violation of the Michigan Constitution. Under Michigan’s Constitution, direct or indirect public aid to any non-public school is prohibited.

To read the full letter sent by Governor Snyder and Treasurer Khouri, please click here.

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