The Internal Revenue Service (IRS) and the Department of the Treasury have issued new guidance offering tax relief for Trump Account contributions.
“If certain requirements are met, contributions made by individual donors to Trump accounts in a given year will not be subject to gift tax reporting requirements for that year,” the IRS said in a June 29 statement.
Trump Accounts can be opened in the name of any child younger than 18 years of age, who is a U.S. citizen with a valid Social Security Number. These accounts can receive up to $5,000 in annual contributions from various sources, including the child’s parents, government, and parents’ employers….