The Internal Revenue Service said Wednesday that taxpayers have signed up more than 4 million children for tax-favored Trump accounts, a new type of individual retirement account for eligible children.
"The IRS has been working closely with the Treasury Department to make the election process as simple and easy as possible by permitting taxpayers to fill out a one-page form when they file their tax return," Frank Bisignano, CEO of the IRS, said in a statement. "Families with eligible children born between 2025 and 2028 just need to check the box on a form to stake their claim for the $1,000 contribution. It's that simple."
The IRS issued proposed regulations March 9 around the pilot program for Trump accounts. The comment period expires April 8.
Contributions to Trump Accounts can be made starting July 4.
More than 1 million children are covered by elections for the $1,000 Trump accounts pilot program contribution.
The proposed regs lay out how the Treasury secretary will make "one-time $1,000 pilot program contributions to the Trump Accounts of eligible children for whom elections have been made," IRS and Treasury said in a statement. The proposed regs "provide guidance regarding the effects of making an election for an eligible child to receive a $1,000 contribution and define other qualifications."
The IRS data on Trump accounts and the pilot program elections are based solely on how many Form 4547, Trump Account Election(s) have been submitted with individual tax returns to the IRS to date, the agency said Wednesday.
The Trump accounts and the Trump account contribution pilot program were established under last summer's tax and spending megabill.
Credit: Chris Nicholls/Touchpoint Markets
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