Updated October 24, 2026. Quick answer: Tax Topic 313 is the IRS page on qualified tuition programs (QTPs), also called section 529 plans. It says “Contributions made to a QTP aren’t deductible.” It also says earnings accumulate tax free while in the account.
Quick reference
| Item | What the IRS topic says |
|---|---|
| Other name | “also referred to as a section 529 plan” |
| Deduction for contributions | “Contributions made to a QTP aren’t deductible.” |
| Earnings while in the account | “Earnings accumulate tax free while in the account.” |
| K through 12 expense limit | “limited up to a total amount of $20,000 per year ($10,000 limit before Dec. 31, 2025) from all of the designated beneficiary’s QTPs” |
| Roth IRA rollover lifetime limit | “a $35,000 lifetime limit” |
| Roth IRA rollover account age | “must be distributed from a QTP account that has been open for at least 15 years as of the date of the distribution” |
What a QTP is
The topic says “A qualified tuition program (QTP), also referred to as a section 529 plan, is a program established and maintained by a state, or an agency or instrumentality of a state”. It then says “Eligible educational institutions can also establish and maintain QTPs but only to allow prepaying a beneficiary’s qualified higher education expenses.”
On what counts as an expense, it says “Qualified higher education expenses generally include expenses required for the enrollment or attendance of the designated beneficiary at any college, university, vocational school, or other postsecondary educational institution”.
Kindergarten through grade 12 and other expenses
The topic says that for a beneficiary at a school from kindergarten through grade 12, qualified expenses include “tuition expenses; curriculum and curricular materials; books or other instructional materials; tuition for tutoring or educational classes outside of the home, including at a tutoring facility; fees for a nationally standardized norm-referenced achievement test, an advanced placement examination, or any examinations related to college or university admissions; fees for dual enrollment in an institution of higher education; and educational therapies for students with disabilities provided by a licensed or accredited practitioner or provider, including occupational, behavioral, physical, and speech-language therapies”. It then says “These qualified higher education expenses in connection with a designated beneficiary’s enrollment or attendance at an elementary or secondary school are limited up to a total amount of $20,000 per year ($10,000 limit before Dec. 31, 2025) from all of the designated beneficiary’s QTPs.”
It also says “qualified higher education expenses also include expenses for fees, books, supplies, and equipment required for the participation in an apprenticeship program registered and certified with the Secretary of Labor; qualified education loan repayments in limited amounts; and certain qualified postsecondary credentialing expenses”.
Contributions, benefits and distributions
On contributions, the topic says “Contact the program’s trustee or administrator to determine the program’s contribution limit.”
On distributions, it says “Distributions aren’t taxable when used to pay for qualified higher education expenses.” It adds “if the amount of a distribution is greater than the beneficiary’s qualified higher education expenses, a portion of the earnings is taxable.”
For reporting, it says “You should receive a Form 1099-Q, Payments from Qualified Education Programs (Under Sections 529 and 530) from each of the programs from which you received a QTP distribution.” See Form 1099-Q boxes 1 to 3 for the boxes.
Rollover to a Roth IRA
The topic says “the beneficiary of a QTP is permitted a special rollover distribution from their QTP to their Roth IRA.” For it to be tax free, “the rollover amount must be paid through a direct trustee-to-trustee transfer”. It also says the rollover “may not exceed the amount contributed to the QTP (and attributable earnings) before the 5 year period ending on the date of the distribution.”
This site covers the rule in the 15 year rule page and the annual limit page.
Where this comes from
This page describes the IRS page titled Topic no. 313, Qualified tuition programs (QTPs), as served on irs.gov on October 24, 2026. The IRS page shows that it was last reviewed or updated on 24 Sep 2026. The IRS can change a topic after we read it, and the IRS page controls. General information, not tax or legal advice.
Common mistakes
- Expecting a deduction on the federal return. The topic says “Contributions made to a QTP aren’t deductible.”
- Reading every withdrawal as tax free. The topic says “if the amount of a distribution is greater than the beneficiary’s qualified higher education expenses, a portion of the earnings is taxable.”
- Missing the Roth IRA rollover method. The topic says the amount “must be paid through a direct trustee-to-trustee transfer”
- Overlooking the account age test. The topic says the account “has been open for at least 15 years as of the date of the distribution”
- Assuming the contribution limit is on the IRS page. The topic says “Contact the program’s trustee or administrator to determine the program’s contribution limit.”
Related: IRS tax topics by number, 529 to Roth 15 year rule, 529 to Roth annual limit trap, Leftover 529 money options, Form 1099-Q boxes 1 to 3, and College money and 529s guide.
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Answer againSources
- IRS, Topic no. 313, Qualified tuition programs (QTPs) (irs.gov): https://www.irs.gov/taxtopics/tc313
- IRS, Tax topics index (irs.gov): https://www.irs.gov/taxtopics
Read from the IRS pages linked above on October 24, 2026. General information, not tax or legal advice. The IRS topic page and the instructions for your own form control, and your own facts decide the outcome.