State-Sponsored College §529 Plans: An Analysis of Factors that Influence Investors' Choice

2005 ◽  
Vol 27 (s-1) ◽  
pp. 29-50 ◽  
Author(s):  
Raquel Meyer Alexander ◽  
LeAnn Luna
Keyword(s):  
District Of Columbia ◽  
Bush Administration ◽  
Policy Implications ◽  
Tax Law ◽  
Savings Accounts ◽  
State Tax ◽  
Tax Deductions ◽  
College Savings ◽  
Investment Choices ◽  
Tax Deduction

Taxpayers have invested more than $45 billion in state-sponsored §529 college savings plans. Created by federal legislation in 1996 and enhanced by a 2001 tax law change, all 50 states and the District of Columbia now offer a §529 plan. Some states provide tax deductions and/or exemptions to taxpayers choosing in-state plans. Because of the lack of historical return data on these funds and the absence of comparable investment vehicles, investors rely extensively upon securities dealers for fund recommendations. Using proprietary panel data for 77 plans in 50 states over eight quarters, this paper compares tax and nontax factors that drive §529 investment choices. This paper explains why an investor may choose an out-of-state §529 plan despite losing a potential state tax deduction. This paper also has policy implications for lifetime savings accounts proposed by the Bush administration.

Employer Matching Contributions to Section 529 College Savings Plans

2019 ◽  
Vol 51 (3) ◽  
pp. 129-140
Author(s):  
John G. Kilgour
Keyword(s):  
Higher Education ◽  
Tax Credits ◽  
Student Debt ◽  
Employee Benefit ◽  
Investment Performance ◽  
Savings Accounts ◽  
Different Types ◽  
Tax Deductions ◽  
College Savings

The alarming increase of higher education and the resulting growth of student debt in recent years has resulted in a number of employers adopting programs to assist employees with 529 college savings plans. However, the design or adoption of such plans is complicated. They are 529 prepaid tuition plans, educational savings plans or Coverdell Educational Savings Accounts. Many states offer tax deductions, tax credits or grants. Fees and expenses vary significantly among the different types of plans and from state to state as does investment performance. This article examines these matters from the perspective of an employer considering the adoption of a 529 or other college savings plan as an employee benefit.

scholarly journals ANALISIS PERHITUNGAN DAN PELAPORAN PPH FINAL PASAL 4 AYAT 2 ATAS BUNGA DEPOSITO DAN TABUNGAN NASABAH PADA PT. BPR MAPALUS TUMETENDEN CABANG TOMOHON

2016 ◽  
Vol 11 (2) ◽  
Author(s):  
Veronica Junisa Lolong ◽  
David Paul Elia Saerang ◽  
Hence Wokas
Keyword(s):  
Service Quality ◽  
Income Tax ◽  
Descriptive Analysis ◽  
Field Studies ◽  
Study Data ◽  
Tax Law ◽  
Income Tax Law ◽  
The Government ◽  
Tax Deduction

Income tax is one of the largest government revenues. Income Tax Law Article 4 Paragraph 2 gives a mandate to the government to impose income tax on certain earnings final. This study aims to determine how the interest calculation and interest reports and final income tax deduction on interest of savings and customer deposits at PT. BPR Mapalus Tumetenden Branch Tomohon. Descriptive analysis was employed in this study. Data were obtained by field studies. The results shows that the calculation and reports of Final Income Tax Article 4 Paragraph 2 on deposit and savings PT. BPR Mapalus Tumetenden Branch Tomohon have compiled with the laws of regulations. Leaders of PT. BPR Mapalus Tumetenden Branch Tomohon should improve the service quality to each customer, so that the customers can increase the amount of savings in bank. Keywords: calculation, reporting, deposit interest, customer savings

scholarly journals Museums, collectors, and value manipulation: tax fraud through donation of antiquities

2017 ◽  
Author(s):  
Donna Yates
Keyword(s):  
United States ◽  
International Trade ◽  
Case Studies ◽  
The United States ◽  
Tax Law ◽  
Traditional Practices ◽  
Antiquities Market ◽  
Tax Fraud ◽  
Key Aspects ◽  
Tax Deduction

PurposeTo discuss the key aspects of the international trade in antiquities and the practice of philanthropic donation of object to museums that allow for certain types of tax deduction manipulation using a case of tax deduction manipulation from Australia and a case of tax fraud from the United States as examples.Design/methodology/approachTwo thoroughly researched case studies are presented which illustrate the particular features of current and past antiquities donation incentivization schemes which leave them open to manipulation and fraud.FindingsThe valuation of antiquities is subjective and problematic and the operations of both the antiquities market and the museums sector are traditionally opaque. Because of this tax incentivisation of antiquities donations, is susceptible to fraud.Originality/valueThis paper presents the mechanisms of the antiquities market and museum world to an audience that is not familiar with it. It then clearly demonstrates how the traditional practices of this world can be manipulated for the purposes of tax fraud. Two useful case studies are presented and one of these case studies has never been academically published before, despite it being the cause for a change in Australian tax law.

Receiving a social tax deduction on personal income tax through an employer: amendments to the Tax Code of the Russian Federation

2021 ◽  
pp. 25-31
Author(s):  
O.V. Shinkareva ◽  
S.A. Kormacheva
Keyword(s):  
Russian Federation ◽  
Income Tax ◽  
Personal Income ◽  
Personal Income Tax ◽  
Tax Deductions ◽  
The Russian Federation ◽  
To Receive ◽  
Tax Deduction

Article analyzes changes which the employers performing functions of the tax agent on an income tax will face since the beginning of 2022. Changes have been made to the Tax Code of the Russian Federation, which not only expand the range of social tax deductions, but also in some cases change the format of interaction between the employer and the employee, which he decided to receive a social tax deduction for personal income tax. The peculiarities of obtaining various types of social tax deductions through the employer, changes that will come into force in 2022 in this area, as well as the necessary documents are disclosed on the basis of which the employer provides the employee with social tax deductions.

The Impact of Explicit and Implicit State Taxation of U.S. Government Obligations on the Structure of Banks' Investment and Financing Portfolios

2001 ◽  
Vol 23 (2) ◽  
pp. 1-19 ◽  
Author(s):  
Anne Beatty ◽  
David G. Harris
Keyword(s):  
Lower Risk ◽  
District Of Columbia ◽  
Bank Regulation ◽  
Risky Assets ◽  
Tax Rate ◽  
Tax Effects ◽  
State Tax ◽  
Investment And Financing ◽  
State Taxation ◽  
The Impact

In this paper we examine the effects of differential state taxation of U.S. Government obligations (USOs) on how banks structure their investment and financing portfolios, the riskiness of banks' assets, and how implicit tax effects are impounded in investments' returns. Twenty-seven states tax USOs (taxing states) and 23 states and the District of Columbia do not (nontaxing states). We find that banks in taxing states hold significantly greater amounts of USOs, which are among the least risky assets banks can hold, and we find that these banks hold a less risky mix of assets. Consistent with compensating for the lower risk of their asset mix, we also find that these banks hold less capital. Taken together, these results are consistent with effective bank regulation enforcement, since banks have similar capital to risk-weighted asset ratios in spite of differing tax-based incentives to hold riskless assets. We also examine the impact of implicit taxes on banks' USO holdings and related accounts and find that in taxing states banks' USO investments are decreasing in their state tax rate. We also find corresponding increases in asset riskiness for which banks do not appear to fully compensate in the highest state-tax-rate states. Finally, the effects shown in this paper are economically significant. For example, we find that banks operating in taxing states hold, on average, 40 percent less USOs than do banks in nontaxing states.

The Effects of Goodwill Tax Deductions on the Market for Corporate Acquisitions

2000 ◽  
Vol 22 (s-1) ◽  
pp. 34-50 ◽  
Author(s):  
Benjamin C. Ayers ◽  
Craig E. Lefanowicz ◽  
John R. Robinson
Keyword(s):  
Firm Characteristics ◽  
Target Firm ◽  
Corporate Acquisitions ◽  
Public Firms ◽  
Acquiring Firms ◽  
Tax Deductions ◽  
Tax Benefits ◽  
The Impact ◽  
Tax Deduction ◽  
Purchased Goodwill

We analyze the effect of the tax deduction for goodwill amortization provided by the Omnibus Budget Reconciliation Act of 1993 (OBRA) on the market for corporate acquisitions. We analyze a sample of taxable corporate acquisitions, including acquisitions of subsidiaries, private firms, and public firms, occurring over the period 1990 through 1996. We assess the impact of the goodwill legislation by (1) quantifying the frequency and size of qualifying acquisitions and comparing these acquisitions to nonqualifying acquisitions pre- and post-OBRA and (2) investigating if and how the goodwill amortization deduction influenced the premium paid for qualifying corporate acquisitions. We estimate a regression of acquisition premiums on target-firm characteristics including a proxy for purchased goodwill. We find that acquisitions qualifying for goodwill amortization comprise less than 17 percent of sample taxable corporate acquisitions before OBRA, and this percentage does not increase after the enactment of OBRA. Nonetheless, our regression results indicate that the OBRA goodwill provisions did contribute to a significant increase in acquisition premiums associated with purchased goodwill for qualifying transactions. Thus, rather than operate as a subsidy to acquiring firms, we find that a majority of the tax benefits associated with the goodwill amortization deduction accrues to target-firm shareholders.

Youth in Foster Care and the Reasonable and Prudent Parenting Standard

2020 ◽  
pp. 107755952095774
Author(s):  
Amanda Stafford McRell ◽  
Christian E. Holmes ◽  
Akanksha Singh ◽  
Sue E. Levkoff ◽  
Benjamin Schooley ◽  
...  
Keyword(s):  
Foster Care ◽  
Extracurricular Activities ◽  
Foster Parents ◽  
District Of Columbia ◽  
State Level ◽  
Policy Implications ◽  
Us States ◽  
Healthy Development ◽  
Telephone Interviews ◽  
Children In Foster Care

Children in foster care face disproportionate rates of biopsychosocial challenges but social and extracurricular activities (SEAs) may support their healthy development. The Reasonable and Prudent Parenting Standard (RPPS), a 2014 federal policy, aims to increase access to these opportunities for children in foster care. Analyses of statutes from 50 US states and the District of Columbia (n = 51) revealed similarities and differences in state-level RPPS policy implementation. Building on these findings, researchers conducted semi-structured retrospective telephone interviews with foster parents across one southeastern state (n = 20) to identify local retrospective perspectives on RPPS implementation. Using thematic inductive coding two unique themes emerged about SEAs prior to RPPS: 1) negative social impacts and 2) complicated activity approval processes. Three unique themes emerged after RPPS: 1) empowerment, 2) implementation disparities and 3) resource recommendations. Policy implications include the need to support foster parents by increasing resources (funding, transportation, access), clarifying liability and clarifying motivation expectations.

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