• Coverdell Education Savings Accounts
  • April 30, 2003 | Author: Amy J. Newnam
  • Law Firm: Schnader Harrison Segal & Lewis LLP - Philadelphia Office
  • Coverdell Education Savings Accounts ("Coverdell Accounts," formerly known as "Education IRAs") allow a donor to contribute a tax-deferred investment vehicle on behalf of a designated beneficiary for educational expenses. The passage of the Economic Growth and Tax Relief Reconciliation Act of 2001 ("EGTRRA"), significantly expanded the scope of Coverdell Accounts and made them an attractive savings technique which can be used alone or in conjunction with a Section 529 Plan.