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What is the maximum amount a grandparent can gift to the grandchild's 529 college saving fund?

Want to know the maximum amount that can be gifted/contributed to a grandchild's 529 college saving fund in one year? Can we contribute $50K to each grandchild (5) at one go? The grand children have accounts along with the parents. We are alien grandparents. Have doubt about 14K or 70K (5 years total)? We are old and wish to do it all at once. If yes, what are the tax implications to the parents, i.e. our children? Please help.
529 Plan
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Tax Professional Answers

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Dean Marzullo
Line B. Qualified Tuition
Programs (529 Plans or
Programs)
If in 2014, you contributed more than
$14,000 to a Qualified Tuition Plan (QTP)
on behalf of any one person, you may
elect to treat up to $70,000 of the
contribution for that person as if you had
made it ratably over a 5-year period. The
election allows you to apply the annual
exclusion to a portion of the contribution in
each of the 5 years, beginning in 2014.
You can make this election for as many
separate people as you made QTP
contributions.
You can only apply the election to a
maximum of $70,000. You must report all
of your 2014 QTP contributions for any
single person that exceed $70,000 (in
addition to any other gifts you made to that
person).
Leave a Comment 166 weeks ago

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Question Owner
Thank you.
Reply 165 weeks ago

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