§2.Qualified business trade expenses treated as qualified higher education expenses for purposes of 529 accounts
This section expands the definition of qualified higher education expenses under IRC §529 to include qualified business trade expenses, which are amounts paid by the designated beneficiary for depreciable tangible property (other than buildings) used in a qualified trade field (i.e., specified forestry, fishing, construction, and repair/maintenance industries per NAICS codes 113110, 113210, 113310, 114111, 114112, 114119, 114210, 115310, 236115–236220, 237110–237990, 238110–238390, 238910, 238990, 811111, 811114, 811198, 811210, 811310, 811411, 811412, 811420, 811430, and 811490). (As background, §529 qualified tuition programs are tax-advantaged savings plans whose tax-free distributions are limited to qualified higher education expenses such as tuition, fees, books, supplies, and room and board.) The provision applies to expenses paid in taxable years beginning after enactment.