Trump Accounts and 529 plans have different statutory purposes and tax treatment. A 529 can provide tax-free qualified education distributions and a qualifying NJ deduction; a Trump Account has a government seed for eligible births, permits Section 128 employer contributions, and later follows IRA rules. This guide does not recommend opening, funding, converting, or allocating between accounts.
Trump Account vs. 529 Plan: Quick Comparison (2026)
| Feature | Trump Account (Section 530A) | 529 Plan (Section 529) |
|---|---|---|
| Year created | 2025 (OBBBA) - accounts live July 4, 2026 | 1996 |
| Eligibility | Under 18 with SSN | Any individual, no age or income limits |
| Annual contribution limit | $5,000/child aggregate annual cap (all sources combined); up to $2,500 of that cap can be funded by an employer under IRC §128 - counts toward, not on top of, the $5,000 cap per IRS Notice 2025-68 | No federal annual limit; NJ NJBEST lifetime max $305,000 |
| Government seed money | $1,000 one-time for births 2025-2028 | None federally (NJBEST: $750 match if NJ income ≤ $75K) |
| Federal tax deduction | None for individual contributors | None |
| NJ state tax deduction | None | Up to $10,000/year if NJ gross income ≤ $200,000 |
| Tax on growth | Tax-deferred (taxed at withdrawal) | Tax-free for qualified expenses |
| Qualified distributions | Taxed as ordinary income (retirement, IRA rules) | 100% tax-free for education (federal + NJ) |
| K-12 tuition use | Not applicable - retirement only | Up to $20,000/year (raised from $10K by OBBBA, effective 2026) |
| Investment options | American-equity index funds only (S&P 500 or another index of primarily American equities); 0.10% fee cap; multiple qualifying funds exist - not limited to a single fund | Flexible: age-based, active, index, fixed income |
| Account control | Transfers to child at age 18 | Parent retains control indefinitely |
| FAFSA impact | Unresolved - no ED guidance; IRA-type treatment suggests possible exclusion | Parent asset (max 5.64% assessment) |
| Beneficiary changes | Cannot change beneficiary | Can transfer to qualifying family members |
| Required minimum distributions | Yes (standard IRA rules at 73/75) | None |
| Roth conversion | Allowed after age 18 | $35,000 lifetime rollover to Roth IRA (15-year rule) |
Tax-treatment summary: Qualified 529 education distributions can be tax-free. Trump Accounts have separate contribution rules, a government seed for eligible births, possible employer contributions, and IRA treatment after age 18. Account selection and funding are outside this guide.
The One Big Beautiful Bill Act (OBBBA, Public Law 119-21) created Trump Accounts in 2025. Comparing them with 529 plans requires separate review of tax treatment, contribution limits, investment constraints, FAFSA status, and withdrawal rules; those facts do not establish a recommendation for any family.
This guide provides that educational comparison with specific illustrations for New Jersey families. IRC citations, OBBBA section references, and NJ rules were last reviewed July 29, 2026. For the underlying Trump Account rules, see the complete Trump Account guide.
In This Article
- What Is a Trump Account (Section 530A)?
- What Is a 529 Plan?
- Side-by-Side Comparison Table
- Tax Treatment: The Critical Difference
- Scenario Analysis: Three NJ Family Income Levels
- Distinct Trump Account Rules
- Distinct 529 Plan Rules
- NJ-Specific Considerations
- Simultaneous Contribution Rules
- FAQ
What Is a Trump Account (Section 530A)?
The Trump account was created by OBBBA Section 70204 of the One Big Beautiful Bill Act (opens in a new tab) (Public Law 119-21), signed July 4, 2025. It is codified as IRC Section 530A (opens in a new tab). The companion employer contribution exclusion lives at new IRC Section 128.
The account is a tax-advantaged savings vehicle for children under 18 with a valid Social Security Number. It functions as a custodial retirement account. Parents, grandparents, and employers can contribute up to a combined $5,000 per year aggregate cap (indexed for inflation beginning in 2028). The $1,000 federal seed (for children born 2025-2028) is separate from the $5,000 annual cap per IRC §530A(b)(2). Contributions are not tax-deductible, but growth is tax-deferred. Contributions cannot be accepted before July 4, 2026 (the statutory account-opening date). When the child reaches 18, the account converts to an individual retirement account under their control, and qualified distributions in retirement are taxed as ordinary income - similar to a traditional IRA.
Employers can contribute up to $2,500 per year under new IRC Section 128 (opens in a new tab), excludable from the employee's gross income. Per IRS Notice 2025-68, this employer contribution counts toward the $5,000 aggregate annual cap (it does NOT stack on top of it). So if the employer contributes the full $2,500, individual sources are limited to $2,500 combined for that year. The §128 exclusion remains valuable because it removes the contribution amount from the employee's gross income, but it does not expand the total contribution ceiling.
Investment options are limited by statute to funds tracking an index of primarily American equities (such as the S&P 500), with a 0.10% management fee cap. Multiple qualifying funds exist - the restriction is 'American-equity index,' not 'a single specific fund.' There is no bond option, no international option, no age-based glide path. This is 100% American equities for the life of the account, but participants can choose among qualifying index funds.
What Is a 529 Plan?
The 529 Plan (formally a Qualified Tuition Program under IRC Section 529 (opens in a new tab)) has existed since 1996. It is designed for education savings. Any individual can open a 529 for any beneficiary - there are no age limits, no income limits, and no citizenship requirements beyond having a valid SSN or TIN.
Contributions are made with after-tax dollars (no federal deduction), but New Jersey offers a state income tax deduction of up to $10,000 per year for taxpayers with gross income of $200,000 or less. Growth is tax-deferred, and qualified distributions for education expenses are 100% tax-free at both the federal and state level. Qualified expenses include tuition, room and board, books, computers, and - thanks to the OBBBA expansion effective 2026 - up to $20,000 per year for K-12 tuition (doubled from the prior $10,000 limit) plus a substantially expanded list of qualified K-12 expenses including curriculum materials, tutoring, dual-enrollment fees, and standardized testing costs.
The parent (or account owner) retains full control of the account indefinitely. There is no age at which control transfers to the beneficiary. The beneficiary can be changed to any qualifying family member at any time. There are no required minimum distributions.
Since the SECURE 2.0 Act, 529 plans also allow a lifetime rollover of up to $35,000 to a Roth IRA in the beneficiary's name, subject to a 15-year account age requirement and annual Roth IRA contribution limits.
New Jersey's direct-sold plan is the NJBEST 529 Plan. For NJ residents with gross income of $75,000 or less, NJBEST offers a $750 scholarship match at enrollment. Investment options include age-based portfolios, actively managed funds, index funds, and fixed-income options.
Side-by-Side Comparison Table
| Feature | Trump Account (Section 530A) | 529 Plan (Section 529) |
|---|---|---|
| Year created | 2025 (OBBBA) | 1996 |
| Eligibility | Under 18 with SSN | Any individual, no age or income limits |
| Annual contribution limit | $5,000 (indexed for inflation starting 2028) | No federal limit; NJ NJBEST lifetime max $305,000 |
| Federal tax deduction | None for individual contributors | None |
| NJ state tax deduction | None | Up to $10,000/year if gross income is $200,000 or less |
| Investment options | U.S. equity index fund only; 0.10% fee cap | Flexible: age-based, active, index, fixed income |
| Tax on growth | Tax-deferred | Tax-deferred |
| Qualified distributions | Taxed as ordinary income (retirement) | 100% tax-free (education expenses) |
| Non-qualified withdrawal penalty | 10% penalty on entire taxable portion | 10% penalty on earnings only; basis withdrawn penalty-free |
| Account control | Transfers to child at age 18 | Parent retains control indefinitely |
| FAFSA impact | Unresolved - no ED guidance; IRA-type treatment suggests possible exclusion | Parent asset (max 5.64% assessment) |
| Beneficiary changes | Cannot change beneficiary | Can transfer to qualifying family members |
| Required minimum distributions | Yes (standard IRA rules after retirement age) | None |
| Roth conversion | Allowed after age 18 | $35,000 lifetime rollover to Roth IRA (15-year rule) |
| Government seed money | $1,000 for births 2025-2028 | None (NJBEST offers $750 match if income is $75,000 or less) |
| Employer contributions | Up to $2,500/year excludable under Section 128 | Treated as taxable compensation to the employee |
Tax-treatment summary: The 529 and Trump Account rules can apply to the same beneficiary, but their tax treatment, access, control, and investment constraints differ. This comparison does not prescribe either account.
Tax Treatment: The Critical Difference
This is a central tax distinction: qualified 529 education distributions can be tax-free, while Trump Account distributions generally follow IRA tax rules.
529 Plan: Tax-free growth for education. Contributions go in after tax. Growth is never taxed if used for qualified education expenses. A family contributes $85,000 over 17 years, the account grows to $129,200, and every dollar comes out tax-free for college. The $44,200 in growth is never taxed. Not as ordinary income, not as capital gains. Zero.
Trump Account: Tax-deferred growth for retirement. Individual contributions go in after tax. Growth is tax-deferred, not tax-free. When the child eventually takes distributions, the taxable portion (including growth, the government contribution, and employer contributions that were excluded from the employee's income) is taxed as ordinary income under the applicable IRA distribution rules. This is the same general tax-deferral framework as a traditional IRA; the Traditional IRA vs. Roth IRA NJ guide explains that distinction. The tax is not eliminated - it is postponed.
For qualified education distributions, the 529 has tax-free treatment that a Trump Account does not. Trump Accounts instead have a separate government-seed rule, an employer-contribution exclusion, and IRA treatment after age 18.
The Non-Qualified Withdrawal Penalty Difference
If funds are withdrawn for non-qualified purposes, the penalty structures are different and the 529 is more forgiving.
529 Plan non-qualified withdrawal: The 10% penalty applies only to the earnings portion of the withdrawal. Your contributed basis comes out penalty-free and tax-free. If you contributed $85,000 and the account is worth $129,200, the earnings are $44,200. A full non-qualified withdrawal triggers a 10% penalty on $44,200 ($4,420) plus ordinary income tax on the $44,200. Your $85,000 basis is returned without penalty or tax.
Trump Account non-qualified withdrawal: The 10% early withdrawal penalty (under IRC Section 72(t), same as traditional IRA rules) applies to the entire taxable portion of the distribution. Since contributions were not deductible for individuals, your basis is returned tax-free, but the treatment of employer contributions and the government seed (which were excludable from income) follows traditional IRA distribution rules. The penalty structure is less favorable than the 529 for early withdrawals.
Scenario Analysis: Three NJ Family Income Levels
All three scenarios assume a child born in 2026, contributions of $5,000 per year to each account for 17 years (ages 0-16), and the child attends a 4-year college. The Trump Account assumes a 7% average annual return (100% U.S. equity index). The 529 assumes a 5% average annual return (age-based portfolio that shifts to bonds over time). These return assumptions reflect the investment constraints of each account.
Scenario 1: NJ Family - Gross Income $75,000 (Qualifies for NJBEST Match)
529 Plan:
- Total contributions: $85,000 over 17 years
- NJBEST $750 scholarship match at enrollment
- NJ state deduction: $5,000/year at 5.525% marginal rate = $276.25/year in NJ tax savings
- Total NJ tax savings over 17 years: approximately $4,696
- Account value at age 17 (5% return): approximately $129,200
- Tax on qualified education withdrawal: $0
- Net value for education: $129,200 plus $4,696 in cumulative tax savings plus $750 NJBEST match
Trump Account:
- Private contributions (excluding the $1,000 federal seed): $85,000 over 17 years
- Government seed: $1,000 (growing to approximately $3,159 at 7% over 17 years)
- NJ state deduction: $0 (no NJ deduction for Trump Account contributions)
- Account value at age 17 (7% return): approximately $157,359 (includes seed growth)
- If used for non-education purposes (retirement): taxed as ordinary income on growth in retirement
- Before the growth period ends (generally before January 1 of the year the beneficiary turns 18), an education distribution is not permitted; after that period, traditional-IRA distribution rules apply, including the qualified-higher-education exception that can waive the 10% additional tax up to eligible expenses, while the taxable portion remains ordinary income
- Approximate tax on growth at 15% effective rate in retirement: $10,853
- Net after-tax value: approximately $146,506
Analysis: Under these assumptions, the 529 illustration combines a $129,200 balance with $4,696 of cumulative NJ tax savings and a $750 NJBEST match, while the illustrated Trump Account balance is $157,359 before future distribution tax. The different uses and assumed returns make this a tax illustration, not an account recommendation.
Scenario 2: NJ Family - Gross Income $150,000
529 Plan:
- Total contributions: $85,000
- No NJBEST match (income exceeds $75,000 threshold)
- NJ state deduction: $5,000/year at 6.37% marginal rate = $318.50/year in NJ tax savings
- Total NJ tax savings over 17 years: approximately $5,415
- Account value at age 17 (5% return): approximately $129,200
- Tax on qualified education withdrawal: $0
- Net value for education: $129,200 plus $5,415 in cumulative tax savings
Trump Account:
- Private contributions (excluding the $1,000 federal seed): $85,000
- Government seed: $1,000 (growing to approximately $3,159)
- NJ state deduction: $0
- Account value at age 17 (7% return): approximately $157,359
- If the parent's employer offers Section 128 contributions (up to $2,500/year), those count TOWARD the $5,000 annual cap, not on top of it - the family contributes $2,500 and the employer contributes $2,500, so total funding stays at $5,000/year and the account value is unchanged at approximately $157,359. The benefit is that the employer's $2,500/year is EXCLUDED from the employee's taxable income under Section 128, not extra dollars in the account.
- With $42,500 of excluded employer funding and $42,500 of after-tax family basis, the approximate taxable portion is $114,859 and approximate tax at a 22% effective rate in retirement is $25,269
- Net after-tax value: approximately $132,090
Analysis: In this illustration, qualified 529 education distributions remain tax-free. A Section 128 employer contribution changes the source and federal tax treatment of part of the Trump Account contribution, not the $5,000 annual cap or illustrated account balance. The illustration does not prescribe funding either account.
Scenario 3: NJ Family - Gross Income $250,000
529 Plan:
- Total contributions: $85,000
- No NJBEST match
- NJ state deduction: $0 (gross income exceeds $200,000 threshold)
- Account value at age 17 (5% return): approximately $129,200
- Tax on qualified education withdrawal: $0
- Net value for education: $129,200 (no NJ tax benefit at this income level)
Trump Account:
- Private contributions (excluding the $1,000 federal seed): $85,000
- Government seed: $1,000 (growing to approximately $3,159)
- Account value at age 17 (7% return): approximately $157,359
- Approximate tax on growth at 24% effective rate in retirement: approximately $17,366
- Net after-tax value: approximately $139,993
Analysis: At $250,000+ income, this scenario assumes no NJ 529 deduction. The illustrated Trump Account balance is higher because the example assumes a higher return, while qualified 529 education distributions are tax-free. These assumptions do not predict performance or recommend either account.
Distinct Trump Account Rules
IRA treatment after age 18. A Trump Account becomes subject to IRA rules when the beneficiary reaches 18. During the Growth Period, distributions are generally prohibited except for narrow statutory exceptions.
Section 128 employer contributions. An employer may contribute up to $2,500 per employee per year, aggregated across the employee's dependents. The amount is excluded from federal gross income and counts toward the beneficiary's $5,000 annual cap; it is not an additional limit.
Government seed for eligible births. Eligible U.S. citizen children born from 2025 through 2028 can receive the one-time $1,000 Section 6434 seed, which is outside the $5,000 annual cap.
Statutory investment constraints. During the Growth Period, the account is limited to qualifying unleveraged U.S. equity index investments subject to the statutory fee cap. That constraint is a fact about the account, not an investment recommendation or performance forecast.
Distinct 529 Plan Rules
Qualified education distributions. A 529 can provide tax-free growth and tax-free distributions for qualified education expenses. Non-qualified withdrawals generally trigger income tax and a 10% additional tax on the earnings portion, subject to exceptions.
Known FAFSA treatment. A parent-owned 529 is treated as a parent asset at a maximum 5.64% assessment rate. Trump-Account-specific Department of Education guidance has not yet settled the corresponding FAFSA treatment.
Account control and beneficiary changes. A 529 owner generally retains control and may change the beneficiary to another qualifying family member. Trump Account control transfers to the beneficiary at age 18.
Plan investment menus. 529 investment choices depend on the plan and can include age-based, equity, balanced, and fixed-income options. This guide describes those differences but does not select investments or allocations.
NJ-Specific Considerations
New Jersey residents face several unique factors that tilt the comparison further toward the 529 for education purposes.
The NJ 529 State Income Tax Deduction
New Jersey allows a state income tax deduction of up to $10,000 per year for contributions to the NJBEST 529 plan only (per N.J.S.A. 54A:3-10) if the taxpayer's New Jersey gross income is $200,000 or less. Contributions to other states' 529 plans do NOT qualify for the NJ deduction. The deduction is reported on NJ-1040 Line 37a (NJBEST Deduction) on the TY2025 form. For a family contributing $10,000 per year to NJBEST at the 6.37% marginal NJ rate, that is $637 per year in NJ tax savings - real money that compounds over 17 years of contributions.
The Trump Account has no NJ state income tax deduction. OBBBA did not create a state-level deduction, and New Jersey has not enacted one independently. Every dollar contributed to a Trump Account is fully taxed at the state level in the year earned. This is a significant NJ-specific disadvantage.
NJBEST $750 Scholarship Match
New Jersey residents with gross income of $75,000 or less who open a NJBEST 529 Plan receive a $750 initial scholarship deposit from the state. This is not a deduction - it is a direct contribution to the 529 account. Combined with the annual deduction, NJ lower-income families receive substantial state support for 529 plans that has no Trump Account equivalent.
Section 128 Employer Contributions and NJ Gross Income Tax
Employer contributions to a Trump Account under IRC Section 128 are excluded from federal gross income. However, New Jersey Gross Income Tax (GIT) does not automatically conform to federal exclusions. Historically, NJ has been selective about adopting federal exclusions - the state did not adopt the federal Qualified Small Employer Health Reimbursement Arrangement (QSEHRA) exclusion, for example.
As of March 2026, the NJ Division of Taxation has not issued guidance on whether Section 128 employer contributions to Trump Accounts are excluded from NJ gross income. If NJ does not conform, employer contributions excluded federally could remain taxable for NJ GIT purposes. Future NJ Division of Taxation publications (opens in a new tab) may resolve that uncertainty.
NJ Does Not Tax 529 Qualified Distributions
Qualified distributions from 529 plans are excluded from both federal and NJ gross income. This means NJ families using 529 funds for education pay zero state tax on growth. Trump Account distributions in retirement will be subject to NJ income tax (NJ taxes retirement income above certain thresholds, with no preferential rate for long-term capital gains). The NJ capital gains tax guide explains how NJ taxes investment income.
Simultaneous Contribution Rules
Federal law does not prohibit contributions to a 529 plan and a Trump Account for the same beneficiary. That legal compatibility does not mean a family should open or fund either account.
For a Trump Account, individual and Section 128 employer contributions share the $5,000 annual cap. The employer amount is limited to $2,500 per employee across dependents, and the eligible $1,000 government seed is outside the beneficiary's annual cap.
A qualifying NJBEST contribution may be deductible for New Jersey purposes, subject to the $10,000 deduction limit and $200,000 gross-income ceiling. Trump Account individual contributions do not receive a corresponding NJ deduction.
Those rules do not establish a contribution amount, order, allocation, or investment choice. Monaco CPA does not open or administer either account, establish an employer Section 128 program, select investments, or advise a minor or parent acting for a minor. For an adult taxpayer, any Monaco CPA work is limited to tax treatment or return reporting only after a separate written engagement is accepted.
Frequently Asked Questions
Can I contribute to both a Trump Account and a 529 Plan for the same child?
Yes. Federal law does not prohibit contributions to both accounts for the same beneficiary. The Trump Account limit is $5,000 per year, while the 529 has no annual federal contribution limit (and NJBEST has a $305,000 lifetime cap). Legal compatibility does not mean either or both should be funded.
Is there a tax deduction for Trump Account contributions?
No. Individual contributions to Trump Accounts are not deductible for federal or NJ state income tax purposes. The tax benefit is tax-deferred growth, not an upfront deduction. This is a key difference from employer contributions, which are excluded from the employee's federal gross income under Section 128.
What happens to the Trump Account when my child turns 18?
The account transfers to the child's control. The child can continue contributing (subject to IRA rules), convert to a Roth IRA, or leave the account invested for retirement. The parent has no further control over the account after the transfer. This is a significant difference from the 529, where the parent retains control indefinitely.
Can I change the beneficiary on a Trump Account?
No. The Trump Account is tied to the child named at account creation. You cannot transfer the account to a sibling, cousin, or other family member. If the child does not need the funds for retirement (unlikely, but possible), the account remains theirs. The 529 allows beneficiary changes to any qualifying family member at any time.
What is the FAFSA impact of each account?
A 529 Plan owned by a parent is reported as a parent asset on the FAFSA and assessed at a maximum rate of 5.64% of the asset value. The Trump Account's FAFSA treatment is not yet settled: current Federal Student Aid guidance excludes retirement accounts, but the Department of Education has not issued Trump-Account-specific guidance. No Trump Account assessment rate or dollar impact can currently be stated.
Can Trump Account funds be used for college?
Not without potential tax and penalty. Trump Account withdrawals generally follow IRA rules after age 18, including a 10% additional tax on an early taxable distribution unless an exception applies. Section 530A does not provide the same qualified-education distribution treatment as a 529 plan.
What if my child does not go to college?
A Trump Account continues under its retirement-account rules whether or not the beneficiary attends college. A non-qualified 529 withdrawal generally incurs tax and a 10% additional tax on earnings, while the statute also permits qualifying beneficiary changes and limited Roth IRA rollovers subject to separate requirements.
What is the government seed contribution?
Eligible children born between 2025 and 2028 can receive a $1,000 government seed contribution under OBBBA Section 70204 / IRC Section 530A, without an income test. At an assumed 7% annual return, $1,000 would grow to approximately $3,159 by age 17 and $29,457 by age 50; this is an arithmetic illustration, not a forecast.
How do employer Section 128 contributions work?
Under IRC Section 128, an employer may contribute up to $2,500 per year per employee, aggregated across dependents, to eligible Trump Accounts. The amount is excluded from the employee's federal gross income and counts toward the beneficiary's $5,000 cap. Employer offerings vary, and NJ conformity with the exclusion had not been confirmed as of April 2026.
Can I roll a Trump Account into a Roth IRA?
Yes, after the beneficiary turns 18. A Roth conversion includes the taxable portion in the adult beneficiary's gross income for that year. The result depends on the beneficiary's complete return, dependency status, and then-current law; this guide does not recommend whether or when to convert.
Can I roll a 529 into a Roth IRA?
Yes, with limits. Under the SECURE 2.0 Act, 529 beneficiaries can roll up to $35,000 lifetime from a 529 into a Roth IRA in their name, subject to two conditions: (1) the 529 account must have been open for at least 15 years, and (2) annual rollovers cannot exceed the Roth IRA annual contribution limit ($7,500 for 2026 for those under 50). This means the full $35,000 rollover takes at least 5 years of annual rollovers.
Which account has better investment returns?
No account label guarantees a return. During the Growth Period, a Trump Account is restricted to qualifying U.S. equity index investments subject to a fee cap; 529 options depend on the plan and may include age-based, equity, balanced, and fixed-income portfolios. Returns depend on markets, timing, fees, and the selected investments. Monaco CPA does not forecast performance or select investments.
Do Trump Accounts have required minimum distributions?
Yes. Once the account holder reaches the applicable age (currently 73, rising to 75 in 2033 under SECURE 2.0), required minimum distributions apply under standard IRA rules. A Roth IRA has different lifetime RMD rules, but this guide does not recommend a conversion.
What is the $5,000 annual limit - per child or per family?
Per child. Each eligible child under 18 can receive up to $5,000 per year in combined contributions from all non-seed sources - parents, grandparents, other individuals, AND employer Section 128 contributions (which max out at $2,500 and count toward, not on top of, the $5,000 per IRS Notice 2025-68). So the maximum annual funding from family plus employer is $5,000 total; only the one-time $1,000 government seed (births 2025-2028) sits outside the cap per Section 530A(b)(2).
Are children born before 2025 eligible for a Trump Account?
Yes, if the child is under 18 and otherwise eligible. Children born before 2025 do not receive the $1,000 government seed limited to births from 2025 through 2028. Eligibility does not itself mean an account should be opened or funded.
How does this compare to just opening a custodial Roth IRA for my child?
A custodial Roth IRA requires the child to have earned income, while a Trump Account has no earned-income requirement. The vehicles also have different contribution and distribution rules. This factual comparison is not a recommendation to open or fund either account; Monaco CPA does not open or administer custodial accounts or provide investment-allocation advice.
Scope Boundary
This article is general tax education. Monaco CPA does not open or administer Trump Accounts, 529 plans, or custodial Roth IRAs; establish employer Section 128 programs; select investments; recommend contribution allocations or IRA strategies; or accept advisory engagements for minors or parents acting for minors. For an adult taxpayer, any tax-treatment or return-reporting work requires a separately accepted written engagement limited to that scope.
Circular 230 Disclosure: This post provides general tax information and is not a substitute for personalized tax advice. Consult a qualified tax professional for advice specific to your situation.
Related Articles
Related reading: OBBBA Tax Changes for NJ Filers | Traditional IRA vs. Roth IRA in NJ | NJ Small Business Retirement Plans | NJ OBBBA Conformity Guide
Circular 230 Disclosure: This content is for informational purposes only and does not constitute tax advice. Written tax advice from a Circular 230 practitioner is governed by 31 C.F.R. § 10.37; Treasury's 2014 final regulations eliminated the former “covered opinion” rules and their mandatory disclaimer legend, so no such legend appears here. Tax laws change frequently; consult a licensed CPA about your specific facts.