N/A Imposes an excise tax of Imposes an excise tax of 1.4% on investment 1.4% on investment income at private colleges income at private with endowments of colleges with College Endowment Tax $250,000/student endowments of at least (estimated to hit 65 to 70 $500,000/student colleges) (Expected to impact colleges) Allows individuals to put Expanded 529 plans to Expanded 529 plans to money aside to pay for include private and public include private and expenses related to K12 expenses, raises cap to public K12 expenses, 529 education savings plans expenses, which $10,000/year raises cap to they can draw down at $10,000/year $2,000/year Allows public agencies Eliminated Unchanged (including districts) to use Qualified Zone Academy Bonds bonds that can be used for (QZABs) school renovation/repair Allows states and localities Eliminated Eliminated to issue tax-exempt ARBs Advance Refunding Bonds to refinance debt at lower interest rates Allows states and Eliminates the tax Unchanged municipalities to issue/back exemption for PABs Private Activity Bonds tax-exempt bonds
College Endowment Tax N/A Imposes an excise tax of 1.4% on investment income at private colleges with endowments of $250,000/student (estimated to hit 65 to 70 colleges) Imposes an excise tax of 1.4% on investment income at private colleges with endowments of at least $500,000/student (Expected to impact colleges) 529 education savings plans Allows individuals to put money aside to pay for expenses related to expenses, which they can draw down at $2,000/year Expanded 529 plans to include private and public K12 expenses, raises cap to $10,000/year Expanded 529 plans to include private and public K12 expenses, raises cap to $10,000/year Qualified Zone Academy Bonds (QZABs) Allows public agencies (including districts) to use bonds that can be used for school renovation/repair Eliminated Unchanged Advance Refunding Bonds Allows states and localities to issue tax-exempt ARBs to refinance debt at lower interest rates Eliminated Eliminated Private Activity Bonds Allows states and municipalities to issue/back tax-exempt bonds Eliminates the tax exemption for PABs Unchanged
AASA%20Tax%20Summary(4).docx