Opportunities in the tax bill

Help with paying for college could be addressed in another arena for legislative action — a tax bill. There is considerable attention being paid this session to passing a tax bill, with House Republicans insisting on tax relief. Proposals to help with higher education costs are in the mix.

One possible change would be to alter the tax laws to help families save in a 529 College Savings Plan. Minnesota is one of only a handful of states that have no incentive in the state tax code to encourage college savings. The Minnesota Private College Council has long supported such a change, given how it would help families save for college. There are also proposals on the table to give graduates who are paying student loans access to tax credits.

“If there is a tax bill, we hope a priority will be placed on higher education proposals,” said Paul Cerkvenik, Council president. “Updating Minnesota’s tax code to better support saving for college would be a significant development.”