I 
114TH CONGRESS 
2D SESSION 
H. R. 5186 
To amend the Internal Revenue Code of 1986 to exclude employer contribu-
tions to 529 plans from gross income and employment taxes and to 
allow a deduction for individual contributions to such plans. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 10, 2016 
Mr. POLIQUIN introduced the following bill; which was referred to the 
Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to exclude 
employer contributions to 529 plans from gross income 
and employment taxes and to allow a deduction for indi-
vidual contributions to such plans. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Help All Americans 
Save for College Act of 2016’’. 
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SEC. 2. TAX TREATMENT OF CONTRIBUTIONS TO 529 
PLANS. 
(a) EXCLUSION FROM GROSS INCOME
FOR EM-
PLOYER CONTRIBUTIONS.— 
(1) IN GENERAL.—Part III of subchapter B of 
chapter 1 of the Internal Revenue Code of 1986 is 
amended by inserting after section 139E the fol-
lowing new section: 
‘‘SEC. 139F. EMPLOYER CONTRIBUTIONS TO 529 PLAN OR 
ABLE ACCOUNT. 
‘‘(a) IN GENERAL.—In the case of an individual who 
is a qualified account owner, gross income shall not in-
clude the amount of any contribution to such account dur-
ing the taxable year by the employer of the account owner. 
‘‘(b) LIMITATION.—The amount exempt from gross 
income by subsection (a) for a taxable year shall not ex-
ceed the lesser of— 
‘‘(1) an amount equal to the compensation in-
cludible in the individual’s gross income for such 
taxable year, or 
‘‘(2) $5,000 ($10,000 in the case of a joint re-
turn) for each dependent who of the taxpayer is the 
designated beneficiary of an account under section 
529. 
‘‘(c) QUALIFIED ACCOUNT OWNER.—For purposes of 
this section, the term ‘qualified account owner’ means— 
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‘‘(1) in the case of an account in connection 
with a qualified tuition program, the account owner 
of an account of a designated beneficiary under sec-
tion 529, and 
‘‘(2) in the case of an ABLE account, the des-
ignated beneficiary in connection with the ABLE ac-
count under section 529A(e)(3).’’. 
(2) CAFETERIA PLAN DOES NOT INCLUDE EM-
PLOYER CONTRIBUTIONS TO 529 PLANS OR ABLE AC-
COUNTS.—Section 125(d)(2) of such Code is amend-
ed by adding at the end the following: 
‘‘(E) EXCEPTION FOR CONTRIBUTIONS TO 
529
PLAN
AND
ABLE
ACCOUNTS.—Subpara-
graph (A) shall not apply to a plan to the ex-
tent of amounts which a covered employee may 
elect to have the employer pay as contributions 
to an account under section 529 or 529A.’’. 
(3) CLERICAL AMENDMENT.—The table of sec-
tions for part III of subchapter B of chapter 1 of 
such Code is amended by inserting after the item re-
lating to section 139E the following new item: 
‘‘Sec. 139F. Employer contributions to 529 plan or ABLE account.’’. 
(b) FEDERAL INSURANCE CONTRIBUTIONS.— 
(1) WAGES.—Section 3121(a) of such Code is 
amended by striking ‘‘or’’ at the end of paragraph 
(22), by striking the period at the end of paragraph 
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