St. Louis, Mo (January 18, 2017) The federal tax overhaul will offer tax relief to parents and donors who support Lutheran schools in the St. Louis Metro Area.
Under the new federal tax overhaul, taxpayers can use Missouri MOST 529 and Illinois Bright Start 529 education savings plans to pay for private K-12 tuition up to $10,000 per year per student without state tax consequences. As a result, the tax benefits for Lutheran school families are two-fold. In addition to withdrawing earnings from the MOST 529 plans tax-free, they can also deduct up to $8,000 a year in contributions from their state taxes. In Illinois, it has not yet been determined if the Illinois statute that establishes the Plan may be modified to include this expanded definition. You should consult your tax advisor regarding your individual situation. Additional resources include MissouriMost.org or in Illinois contact brightstartsavings.com.
“This is welcome news for so many families,” said Sue Nahmensen, CEO of the St. Louis-based Lutheran Elementary School Association (LESA), which administers scholarships and support to 35 Lutheran schools in Missouri and Illinois. “So many of our families struggle and sacrifice to pay that tuition bill because they believe in quality faith-based education and they want the best for their children. This will hopefully ease that burden.”
Nearly 8,900 children of all faiths attend Lutheran schools in St. Louis and southern Illinois, making it the second largest private school system in the Bi-State Region. LESA represents more than 31 Lutheran elementary and four high schools in the St. Louis Metro Area, including four National Blue Ribbon schools and three National Lutheran Exemplary Schools. For more information, visit www.LESAstl.org, or call LESA at 314-200-0797. LESA is a Recognized Service Organization of the Lutheran Church-Missouri Synod.
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