Arkansas Creates Option to Directly Invest Tax
Refunds in 529 College Savings Plans
March 11, 2010 10:19 AM Eastern Time
LITTLE ROCK, Ark.--(EON: Enhanced Online News)--State Treasurer Martha Shoffner today announced that
Arkansas taxpayers will have the option of directly investing individual tax return refunds in their Arkansas 529
college savings plan account. This includes accounts held with The GIFT College Investing Plan, Arkansas' 529
direct college savings plan, and the iShares 529 Plan, Arkansas' advisor-sold college savings plan. This contribution
option became available to account holders in January for their 2009 tax returns.
“It is our ongoing goal to make it as easy as possible for Arkansas residents to invest in their future through
contributions to their 529 account,” explained Treasurer Shoffner. “With tax season here, families can start thinking
ahead about directly investing their tax refunds into 529 accounts. This simple step will help add to their college
savings, and I encourage account holders to consider taking advantage of the new option.”
To apply a 2009 tax refund to an Arkansas 529 plan as a contribution in 2010, an Arkansas taxpayer must fill out
tax form AR1000-CO, including their GIFT College Investing Plan or iShares 529 Plan account information. The
account owner may elect to contribute all or part of their refund to up to two accounts, with a $25 minimum
contribution to each account.
About The GIFT College Investing Plan
The GIFT College Investing Plan is a tax-advantaged 529 plan established by the State of Arkansas. It was
designed to help families save for college and other qualified higher education costs. The GIFT Plan features a state
income tax deduction for Arkansas taxpayers of up to $10,000 for married couples filing jointly ($5,000 if single),* a
wide range of investment options from The Vanguard Group, Inc., and the opportunity for additional savings through
Ugift®, Upromise®, and the Aspiring Scholars Matching Grant Program.