This measure creates an easy way for Californians to save for college by amending the state income tax form to allow filers to directly deposit their refund into a state-administered tax-advantaged 529 college savings account. Providing an easy, structured savings opportunity at tax time is designed to help families save for postsecondary education. This bill requires the Franchise Tax Board to revise the state income tax form to allow a filer to deposit his or her tax return into a ScholarShare College Savings Account.

A sample letter of support is attached at right.

Status:
This bill was introduced on February 18, 2011. This measure builds upon the reforms enacted by AB 2439 in 2006, which allowed California's filers to split their tax refund into two different accounts. The Asset Building Program previously supported a similar measure, SB 323 in the 2009 session.