Contributions to 529 plans are no longer deductible on Maine's income tax return, effective January 1, 2016 - per Page 2 of the 2016 Maine Form 1040ME instructions, for tax
years beginning on or after January 1, 2016, the deduction for contributions to 529 plans (formerly found on Schedule 1, Income
Modifications) has been repealed:
For tax years
beginning on or after January 1, 2016, the following income modifications are
repealed:
• Addition
for qualified tuition and related expenses. 36 M.R.S. § 5122(1)(Q).
• Subtraction
for long-term care premiums. 36 M.R.S. § 5122(2)(T).
•
Subtraction for contributions to 529 Plans. 36 M.R.S. § 5122(2)(Y).
Instructions
for 2016 Maine Form 1040ME may be found here:
http://www.state.me.us/revenue/forms/1040/2016/16_1040me_book_download.pdf
