A new provision in the federal Tax Cuts and Jobs Act that expands the usage of Section 529 College Savings Plans allows account funds to be used for K-12 private school tuition. The Maryland 529 Account program (managed by the state in partnership with T. Rowe Price) can now be used for payments towards your K-12 tuition. There is no income limitation associated with opening a 529 account. By utilizing this tool, you may be eligible for a tax break and the tax-free growth might also be used to pay for tuition in later years! Please note that Maryland law, by default, extends an additional state tax deduction and tax-free treatment on account growth and distribution to K-12 tuition expenditures.
You can learn more by talking to your legal or tax advisor and by visiting the following websites: