S.871 - Savings for Working Families Act of 2007110th Congress (2007-2008)
|Sponsor:||Sen. Lieberman, Joseph I. [ID-CT] (Introduced 03/14/2007)|
|Committees:||Senate - Finance|
|Latest Action:||Senate - 03/14/2007 Read twice and referred to the Committee on Finance. (All Actions)|
This bill has the status Introduced
Here are the steps for Status of Legislation:
Summary: S.871 — 110th Congress (2007-2008)All Information (Except Text)
Introduced in Senate (03/14/2007)
Savings for Working Families Act of 2007 - Allows certain low-income individuals between age 18 and 61 to establish tax-exempt individual development accounts (IDAs) to pay for certain qualified expenses, including education expenses, first-time homebuyer costs, and business capitalization or expansion costs. Sets forth rules for the establishment, maintenance, and termination of IDAs. Permits tax-free withdrawals from IDAs for qualified expenses, but requires IDA beneficiaries to complete one or more financial education courses prior to making an IDA withdrawal.
Allows certain financial institutions, tax-exempt organizations, and Indian tribes to sponsor and administer IDAs. Amends the Internal Revenue Code to allow such entities a business-related tax credit for the cost of administering IDAs and for making matching contributions to IDAs in parallel accounts.
Provides that IDA amounts shall be disregarded for purposes of determining eligibility for assistance under certain means-tested federal programs.