If a taxpayer contributes to a DC 529 College Savings plan, a portion of the contribution can be subtracted from income on the DC return.
Contributions up to $4,000 per year, are eligible for a DC state income tax deduction for those filing a single return; and $8,000 per year for those filling a joint return.
To enter the deductible portion of the contributions that were made in TaxSlayer ProWeb, from the main menu of the DC return, select:
- Subtractions from Income
- Paid to DC College Savings Plan This Year - Enter the deductible amount* of the contribution that the taxpayer made to the plan. Next, enter the deductible amount of the contribution made by the spouse.
*If the contribution amount was more than the deductible limit, do not enter more than $4,000 for the taxpayer and $4,000 for the spouse.
Additional Information: