Which statement about the distributions and contributions to Section $529$ plans is TRUE?

The beneficiary generally does not have to include the earnings from the plan in their income.

A deduction of up to $$10,000$ per taxpayer $($$$20,000$ MFJ$)$ is available on the federal income tax return for contributions.

Distributions can be used to pay up to $$10,000$ in tuition and fees at a qualifying preschool.

Distributions may be used to pay up to $$15,000$ per year in qualified student loans.

Mark for follow up

Question $76$ of $100.$

All of the following would generally be considered a qualified, nontaxable distribution from a Section $529$ plan EXCEPT:

A $$12,000$ distribution used to pay room and board for a beneficiary living in a dorm while they are enrolled as a full$-$time student at a state university.

A $$10,000$ distribution used to pay tuition for a beneficiary at a state university.

An $$8,000$ distribution used to pay tuition for a beneficiary at a private elementary school.

A $$2,000$ distribution used to pay travel expenses for a beneficiary enrolled as a full$-$time student at a college located in another state.