Can the original 529 plan account owner establish an account and later transfer ownership of the account to someone else?
529 plan allows the ownership to be transferred from the original account owner to a new account owner. The original account owner must send in a signature guaranteed letter stating the change in account status, including the original owner and new owner’s names, addresses and social security numbers. This letter must be accompanied by a new account application. There are no penalties or tax consequences involved in this account change.
