A 3831
Allows distributions from NJBEST account to Roth IRA as qualified withdrawals and excludes such distributions from gross income tax.
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Sign in to take action- Introduced
- Passed General Assembly
- Passed Senate
- To Governor
- Became Law
Bill overview
This bill allows individuals in New Jersey to withdraw money from the NJBEST account and move it directly into a Roth IRA as a ‘qualified withdrawal,’ exempting those withdrawals from state income tax. This aligns with recent federal legislation that permits a special rollover from 529 plans into Roth IRAs. The bill clarifies that this rollover is considered a qualified withdrawal under New Jersey law, ensuring that investment earnings on the transferred funds are not subject to state income tax.
Sponsors
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Primary sponsor
Cosponsors
Gerry Scharfenberger
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