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Maryland College Investment Plan contribution with no state contributions

Maryland allows contributions in excess of $2,500 from prior years to be claimed as a deduction until fully deducted or the 11th consecutive tax year. TurboTax asks the user to enter the amount "Investment in Maryland College Investment Plan (up to $2,500 per contributor per beneficiary)." I take this to mean that if I have only one account, one beneficiary, and one contributor, then the maximum that can go into this field is $2,500?

 

I am guessing then that it is not possible (or correct) to enter the full amount contributed (when above $2,500) as TurboTax cannot distinguish an excess eligible amount for subtraction in future years vs. values entered based on multiple accounts and/or multiple contributors? 

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1 Reply
MaryK4
Expert Alumni

Maryland College Investment Plan contribution with no state contributions

That is correct, TurboTax reports the carryover value that you enter to the maximum of $2,500; it does not carryforward amounts to future years.  

 

If you are the account owner or a contributor, you can subtract up to $2,500 per beneficiary from your Maryland state income for contributions in that calendar year. Contributions in excess of $2,500 per beneficiary can be subtracted for up to the next 10 years.

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