Georgia’s 529 Plan—Path2College 529 Plan

Residents of Georgia are eligible for a state tax deduction for contributions to Georgia’s 529 College Savings Plan regardless of income. Because of this tax benefit, residents should consider this plan as a savings vehicle for higher education costs. For more information on Georgia’s plan and the seven available investment options, read this week’s Financial Strategy.

Hobby Losses

If you take tax deductions for any activity that is not your full-time job, you need to meet certain criteria to ensure the IRS does not consider your activity a hobby rather than a for-profit business. The IRS has nine factors they consider when determining if your activity is a hobby or a viable business. For more information on these factors, read this week’s C.P.A. Insight.