13-63-1. Definitions. Terms used in this chapter mean: (1)”Account,” an account established as prescribed in this chapter; (2)”Account owner,” the person who, under this chapter or rules promulgated by the council pursuant to chapter 1-26, is entitled to select or change the designated beneficiary of an account, to designate any person other than the designated […]
13-63-10. Contributions to accounts. Any person may make contributions to an account after the account is opened. Contributions to accounts may be made only in cash. Source: SL 2001, ch 97, §10.
13-63-11. Withdrawals from account. Account owners may withdraw all or part of the balance from an account as may be authorized by the council, by policies, guidelines, or procedures, or under rules promulgated by the council pursuant to chapter 1-26. Source: SL 2001, ch 97, §11; SL 2002, ch 94, §1.
13-63-12. Changing designated beneficiary. An account owner may change the designated beneficiary of an account to an individual who is a member of the family of the former designated beneficiary or to any other individual in accordance with this section or with procedures established by the council by rules promulgated pursuant to chapter 1-26. To […]
13-63-13. Transferring funds to another account–Conditions. On the direction of an account owner, all or a portion of an account may be transferred to another account of which the designated beneficiary is a member of the family of the designated beneficiary of the transferee account, if the transferee account was created by this chapter or […]
13-63-14. Limitations on changing designated beneficiary and rolling over funds. Changes in designated beneficiaries and rollovers are not permitted if the changes or rollovers would violate either of the following: (1)Section 13-63-21 relating to excess contributions; or (2)Section 13-63-18 relating to investment choice. Source: SL 2001, ch 97, §14.
13-63-17. Accounts to be maintained separately. Each account shall be maintained separately from each other account under the program. Separate records and accounting shall be maintained for each account for each designated beneficiary. Source: SL 2001, ch 97, §17.
13-63-18. No direction of investments–Limited options permitted–Financial institution obligation. A contributor to, account owner of, or designated beneficiary of, any account may not, directly or indirectly direct the investment of any contributions to an account or the earnings from the account, except to the extent permitted under section 529 of the Internal Revenue Code. A […]
13-63-19. Council to select financial institution in event of transfer of accounts–Exception. If the council terminates the authority of a financial institution to hold accounts and accounts must be moved from that financial institution to another financial institution, the council shall select the financial institution and type of investment to which the balance of the […]
13-63-2. Powers of South Dakota Investment Council. The council shall: (1)Establish the program in the form of a trust to be declared by the council or in such other form as the council may determine; (2)Develop and implement the program in a manner consistent with this chapter through the adoption of rules, guidelines, and procedures; […]
13-63-20. Interest in account not subject to levy, judgment or garnishment–Not deemed asset–Interest not to be used as security–Inclusion as gross asset. Notwithstanding any other provision of law, any amount in or credited to any account is exempt from and is not susceptible to any levy, execution or judgment, or other operation of law, garnishment, […]
13-63-21. Council to adopt rules to prevent excess contributions. The council shall adopt policies, guidelines, procedures, or rules pursuant to chapter 1-26 to prevent contributions on behalf of a designated beneficiary in excess of the maximum amounts permitted under section 529 of the Internal Revenue Code and related regulations. Source: SL 2001, ch 97, §21; […]
13-63-21.1. Excess contributions–Processing. For each designated beneficiary, the balance in the qualified tuition program may not exceed the limits as defined in section 529 of the Internal Revenue Code. If the financial institution determines that a contribution would cause the account balance limit to be exceeded, the financial institution may only deposit that portion of […]
13-63-22. Account distributions to be reported as required by federal law. If there is any distribution from an account to any person or for the benefit of any person during a calendar year, the distribution shall be reported to the Internal Revenue Service and the account owner or the designated beneficiary to the extent required […]
13-63-23. Account statements–Contents. The financial institution shall provide statements to each account owner annually within thirty-one days after the twelve-month period to which they relate. The statement must include a minimum of the beginning balance; all contributions made during the preceding twelve-month period; the sum total of contributions made through the end of the period; […]
13-63-24. Statements to comply with federal or state tax laws. Statements and information returns relating to accounts shall be prepared and filed to the extent required by federal or state tax law. Source: SL 2001, ch 97, §24.
13-63-25. Government and non-profit organizations as account owners–Beneficiaries identified after account opened. A state or local government or organizations described in section 501(c)(3) of the Internal Revenue Code and related regulations may open and become the account owner of an account to fund scholarships for persons whose identity will be determined after an account is […]
13-63-26. Identifying information of account holders and beneficiaries confidential. Any social security numbers, taxpayer identification numbers, addresses, or telephone numbers of account holders and designated beneficiaries that come into the possession of the council are confidential, are not public records, and may not be released by the council except as required by federal law. Source: […]
13-63-27. Account balance of beneficiary student treated as asset of parent–Exceptions. Any student loan program, student grant program, or other financial assistance program established or administered by this state or by a state supported educational institution shall treat the balance in an account of which the student is a designated beneficiary as if it were […]
13-63-28. Limitations of chapter. Nothing in this chapter: (1)Gives any designated beneficiary any rights or legal interest with respect to an account unless the designated beneficiary is the account owner; (2)Guarantees that a designated beneficiary will be admitted to an eligible education institution or be allowed to continue enrollment at or graduate from an eligible […]
