Technical And Miscellaneous Revenue Act Of 1988 (TAMRA): Children
Definition of "Technical and miscellaneous revenue act of 1988 (TAMRA): children"
Determination that investments by parents in their children's education through the purchase of Series EE Savings Bonds, which generate interest income, are tax-exempt if the proceeds are applied to qualified education expenses. To qualify for this tax exemption, the following criteria must be met:
- In order for education expenses to qualify, they must be incurred in the year of redemption of the bonds. Such expenses include tuition and required fees. In a year in which the proceeds from the redeemed bonds are greater than the qualifying expenses, a prorated percentage of the redeemed bonds' earnings becomes taxable income for that year.
- In order for the education expenses to qualify, they must be the expenses of the bond's purchaser or those of the purchaser's dependent in the year of redemption of the bonds.
- In order for the education expenses to qualify, the purchaser of the bonds must be at least 24 years of age and the bonds must be in the name of the purchaser or in the joint names of the purchaser and his or her spouse. Also, married individuals must file joint tax returns.
- Bonds purchased must have been issued after December 31, 1987.
Popular Insurance Terms
Injury that continues after a wound from physical or psychic entry. (The latter is a wound that makes a lasting impression on the mind, especially upon the subconscious mind; for example, a ...
Obligatory reinsurance contract in which a reinsurer agrees to pay for all or a large portion of losses up to a limit, when these losses exceed the retention level of the cedent. The ...
Coverage in which one premium payment is made and the policy is fully paid up with no further premiums required. ...
Form of state rating law that requires prior approval of property and casualty insurance premiums by the state insurance department for certain changes. Here, a state generally allows new ...
Actuarial evaluation of the assets of a pension plan according to the fair market value of the assets. ...
Section describing coverages under a policy. Elsewhere in the policy other sections may restrict or exclude coverages. ...
One of two bureaus that writes forms and files standard rates for inland marine insurance. The other is the inland marine insurance bureau. ...
Point in time when a term life insurance policy terminates its coverage. ...
Trust in which the trustee distributes capital and income to the beneficiaries of the trust according to their economic needs. ...
Have a question or comment?
We're here to help.