| 1 | 1 | | II |
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| 2 | 2 | | 119THCONGRESS |
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| 3 | 3 | | 1 |
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| 4 | 4 | | STSESSION S. 627 |
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| 5 | 5 | | To amend the Internal Revenue Code of 1986 to make certain provisions |
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| 6 | 6 | | with respect to qualified ABLE programs permanent. |
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| 7 | 7 | | IN THE SENATE OF THE UNITED STATES |
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| 8 | 8 | | FEBRUARY19, 2025 |
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| 9 | 9 | | Mr. S |
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| 10 | 10 | | CHMITT(for himself, Mr. VANHOLLEN, Mr. BOOZMAN, Mr. |
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| 11 | 11 | | T |
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| 12 | 12 | | UBERVILLE, Mr. KAINE, Mrs. BRITT, Ms. KLOBUCHAR, Mr. COONS, |
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| 13 | 13 | | Mr. M |
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| 14 | 14 | | ORAN, Mr. TILLIS, Mr. FETTERMAN, Mr. WARNOCK, Mr. SUL- |
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| 15 | 15 | | LIVAN, and Mr. KELLY) introduced the following bill; which was read |
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| 16 | 16 | | twice and referred to the Committee on Finance |
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| 17 | 17 | | A BILL |
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| 18 | 18 | | To amend the Internal Revenue Code of 1986 to make |
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| 19 | 19 | | certain provisions with respect to qualified ABLE pro- |
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| 20 | 20 | | grams permanent. |
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| 21 | 21 | | Be it enacted by the Senate and House of Representa-1 |
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| 22 | 22 | | tives of the United States of America in Congress assembled, 2 |
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| 23 | 23 | | SECTION 1. SHORT TITLE. 3 |
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| 24 | 24 | | This Act may be cited as the ‘‘Ensuring Nationwide 4 |
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| 25 | 25 | | Access to a Better Life Experience Act’’ or the ‘‘ENABLE 5 |
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| 26 | 26 | | Act’’. 6 |
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| 27 | 27 | | VerDate Sep 11 2014 22:09 Mar 07, 2025 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S627.IS S627 |
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| 28 | 28 | | ssavage on LAPJG3WLY3PROD with BILLS 2 |
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| 29 | 29 | | •S 627 IS |
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| 30 | 30 | | SEC. 2. PERMANENT EXTENSION OF INCREASED CON-1 |
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| 31 | 31 | | TRIBUTIONS TO ABLE ACCOUNTS. 2 |
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| 32 | 32 | | (a) I |
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| 33 | 33 | | NGENERAL.—Section 529A(b)(2)(B)(ii) of the 3 |
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| 34 | 34 | | Internal Revenue Code of 1986 is amended by striking 4 |
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| 35 | 35 | | ‘‘before January 1, 2026’’. 5 |
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| 36 | 36 | | (b) A |
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| 37 | 37 | | LLOWANCE OFSAVERSCREDIT.— 6 |
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| 38 | 38 | | (1) I |
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| 39 | 39 | | N GENERAL.—Section 25B(d)(1) of the In-7 |
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| 40 | 40 | | ternal Revenue Code of 1986 is amended to read as 8 |
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| 41 | 41 | | follows: 9 |
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| 42 | 42 | | ‘‘(1) I |
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| 43 | 43 | | N GENERAL.—The term ‘qualified retire-10 |
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| 44 | 44 | | ment savings contributions’ means, with respect to 11 |
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| 45 | 45 | | any taxable year, the sum of— 12 |
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| 46 | 46 | | ‘‘(A) the amount of contributions made by 13 |
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| 47 | 47 | | the eligible individual during such taxable year 14 |
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| 48 | 48 | | to the ABLE account (within the meaning of 15 |
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| 49 | 49 | | section 529A) of which such individual is the el-16 |
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| 50 | 50 | | igible beneficiary, and 17 |
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| 51 | 51 | | ‘‘(B) in the case of any taxable year begin-18 |
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| 52 | 52 | | ning before January 1, 2027— 19 |
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| 53 | 53 | | ‘‘(i) the amount of the qualified retire-20 |
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| 54 | 54 | | ment contributions (as defined in section 21 |
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| 55 | 55 | | 219(e)) made by the eligible individual, 22 |
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| 56 | 56 | | ‘‘(ii) the amount of— 23 |
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| 57 | 57 | | ‘‘(I) any elective deferrals (as de-24 |
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| 58 | 58 | | fined in section 402(g)(3)) of such in-25 |
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| 59 | 59 | | dividual, and 26 |
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| 60 | 60 | | VerDate Sep 11 2014 22:09 Mar 07, 2025 Jkt 059200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S627.IS S627 |
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| 61 | 61 | | ssavage on LAPJG3WLY3PROD with BILLS 3 |
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| 62 | 62 | | •S 627 IS |
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| 63 | 63 | | ‘‘(II) any elective deferral of com-1 |
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| 64 | 64 | | pensation by such individual under an 2 |
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| 65 | 65 | | eligible deferred compensation plan 3 |
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| 66 | 66 | | (as defined in section 457(b)) of an 4 |
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| 67 | 67 | | eligible employer described in section 5 |
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| 68 | 68 | | 457(e)(1)(A), and 6 |
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| 69 | 69 | | ‘‘(iii) the amount of voluntary em-7 |
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| 70 | 70 | | ployee contributions by such individual to 8 |
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| 71 | 71 | | any qualified retirement plan (as defined 9 |
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| 72 | 72 | | in section 4974(c)).’’. 10 |
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| 73 | 73 | | (2) C |
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| 74 | 74 | | OORDINATION WITH SECURE 2 .0 ACT OF 11 |
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| 75 | 75 | | 2022 AMENDMENT.—Paragraph (1) of section 103(e) 12 |
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| 76 | 76 | | of the SECURE 2.0 Act of 2022 is repealed, and 13 |
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| 77 | 77 | | the Internal Revenue Code of 1986 shall be applied 14 |
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| 78 | 78 | | and administered as though such paragraph were 15 |
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| 79 | 79 | | never enacted. 16 |
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| 80 | 80 | | (c) E |
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| 81 | 81 | | FFECTIVEDATE.—The amendments made by 17 |
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| 82 | 82 | | this section shall apply to taxable years ending after the 18 |
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| 83 | 83 | | date of the enactment of this Act. 19 |
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| 84 | 84 | | SEC. 3. PERMANENT EXTENSION OF ROLLOVERS TO ABLE 20 |
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| 85 | 85 | | PROGRAMS FROM 529 PROGRAMS. 21 |
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| 86 | 86 | | (a) I |
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| 87 | 87 | | NGENERAL.—Section 529(c)(3)(C)(i)(III) of 22 |
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| 88 | 88 | | the Internal Revenue Code of 1986 is amended by striking 23 |
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| 89 | 89 | | ‘‘before January 1, 2026,’’. 24 |
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| 90 | 90 | | VerDate Sep 11 2014 22:09 Mar 07, 2025 Jkt 059200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S627.IS S627 |
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| 91 | 91 | | ssavage on LAPJG3WLY3PROD with BILLS 4 |
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| 92 | 92 | | •S 627 IS |
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| 93 | 93 | | (b) EFFECTIVEDATE.—The amendment made by 1 |
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| 94 | 94 | | this section shall apply to distributions made after the 2 |
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| 95 | 95 | | date of the enactment of this Act. 3 |
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| 96 | 96 | | Æ |
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| 97 | 97 | | VerDate Sep 11 2014 22:09 Mar 07, 2025 Jkt 059200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6301 E:\BILLS\S627.IS S627 |
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| 98 | 98 | | ssavage on LAPJG3WLY3PROD with BILLS |
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