HB17-1007 Summary

• Allows employers to claim a state income tax deduction for contributions made to employees' college savings accounts administered by collegeinvest, effective for tax years beginning January 1, 2018.

• Deduction applies to both individual and corporate employers and equals the full amount contributed to an employee's trust or savings account under Part 3 of Article 3.1 of Title 23.

• Permits the deduction even if the contribution is already excluded from federal taxable income, providing an additional state-level tax incentive.

• Establishes the "Increase College Savings Act" to encourage employers to help employees save for college through the state's collegeinvest program.

• Effective date is August 9, 2017, unless a referendum petition is filed, in which case approval by voters in November 2018 is required.