SECURE Act
Per Ed’s most recent newsletter, minority could be extended up to age 26 for a child who is still in school. Is this in the SECURE Act or is this statement based on state law?
Per Ed’s most recent newsletter, minority could be extended up to age 26 for a child who is still in school. Is this in the SECURE Act or is this statement based on state law?
Permalink Submitted by Alan - IRA critic on Tue, 2020-02-11 15:14
The basic age of majority is based on state law (almost all are 18), but the higher education extension is vague and needs to be clarified by the IRS. This extension of minor’s EDB treatment may or may not be affected by state law. If the education is interrupted the 10 year clock will start but given that a student could miss a semester while transferring or otherwise, guidance will be needed from the IRS exactly when the clock will start. This addition to minority status was not specifically mentioned in the Secure Act but has been adopted from other provisions. Once the 10 year clock starts, I doubt that returning to school will suspend it. These questions and others will have to be addressed shortly by the IRS.