MS SB2607

Creates the Mississippi Achieving a Better Life Experience (ABLE) Program administered by the State Treasurer to allow eligible individuals with disabilities to establish tax-exempt savings accounts for qualified disability expenses under Section 529A of the Internal Revenue Code.

Establishes the ABLE Trust Fund consisting of three accounts (administrative, endowment, and program) to hold contributions and investment earnings, with funds exempt from state taxation and protected from creditor claims.

Allows contributors to deduct up to $14,000 annually from Mississippi taxable income for contributions to ABLE accounts, with earnings on qualified withdrawals exempt from income tax.

Requires the State Treasurer to establish the program by July 1, 2017, with participation agreements specifying account requirements, investment options, fees, and provisions for Medicaid recovery from deceased beneficiaries' accounts.

Amends Mississippi income tax law to exclude interest, dividends, and gains from ABLE Trust Fund accounts from gross income for tax purposes, similar to existing treatment for college savings accounts.