,,ii  #aadth ,,congress  #b;d ,session  
,s4 #bdga  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,january #bh1  
#bjaf,mr4 ,kirk 7for himself1 ,mr4      
,hatch1 ,mr4 ,toomey1 and ,mr4 ,vitter7 
introduced the following bill2 which was
 read twice and referred to the         
,committee on ,finance  ,a ,,bill  ,to  
amend the ,internal ,revenue ,code of   
#aihf to improve and expand ,coverdell  
education savings accounts4  #a4 ,short 
title ,this ,act may be cited as the    
#dja7,kids7 ,education ,savings ,account
 ,modernization ,act of #bjaf4  #b4     
,elimination of income-based reduction  
in permitted contributions by           
non-custodians to ,coverdell education  
savings accounts  7a7 ,in general       
,paragraph 7#a7 of section #ecj7;c7 of  
the ,internal ,revenue ,code of #aihf is
 amended by striking who is an          
individual and inserting who is an      
individual and is the custodial parent  
of the designated beneficiary4  7b7     
,effective date ,the amendment made by  

this section shall apply to             
contributions in taxable years beginning
 after ,december #ca1 #bjaf4  #c4       
,increase in annual contribution        
limitation for ,coverdell education     
savings accounts  7a7 ,in general       
,subparagraph 7,a7 of section           
#ecj7;b77#a7 of the ,internal ,revenue  
,code of #aihf is amended-- 7#a7 by     
striking #b1jjj in clause 7iii7 and     
inserting the dollar amount in effect   
under section #bejc7;b7 7relating to    
exclusion from gifts7 for the taxable   
year1  7#b7 by striking or at the end of
 clause 7ii71  7#c7 by striking the     
period at the end of clause 7iii7 and   
inserting 1 or1 and  7#d7 by adding at  
the end the following new clause3  7iv7 
if such contribution would result in    
aggregate contributions for the taxable 
year exceeding #e1ejj from any one      
donor4  4  7b7 ,effective date ,the     
amendments made by this section shall   
apply to contributions made in taxable  
years beginning after ,december #ca1    

#bjaf4  #d4 ,allowance of home school   
expenses as qualified education expenses
 for purposes of a ,coverdell education 
savings account  7a7 ,in general        
,paragraph 7#c7 of section #ecj7;b7 of  
the ,internal ,revenue ,code of #aihf is
 amended by adding at the end the       
following new subparagraph3  7,c7       
,private school ,for purposes of this   
section1 the term private school        
includes any home school that meets the 
requirements of ,state law applicable to
 such home schools1 whether or not such 
school is deemed a private school for   
purposes of ,state law4  4  7b7         
,effective date ,the amendment made by  
this section shall apply to taxable     
years beginning after ,december #ca1    
#bjaf4  #e4 ,qualified rollover         
contributions from ,coverdell education 
savings accounts to ,roth ,i,r,as  7a7  
,in general ,paragraph 7#e7 of section  
#ecj7;d7 of the ,internal ,revenue ,code
 of #aihf is amended by inserting 1 or  
into a ,roth ,,ira of the beneficiary   

7but only to the extent such amount does
 not exceed #aj1jjj7 after as of such   
date4  7b7 ,conforming amendment2       
technical correction ,paragraph 7#a7 of 
section #djh;,a7e7 of the ,internal     
,revenue ,code of #aihf is amended to   
read as follows3  7#a7 ,in general ,the 
term qualified rollover contribution    
means a rollover contribution to a ,roth
 ,,ira from another such account1 from  
an eligible retirement plan 7as defined 
in section #djb7;c77#h77;,b771 or from a
 ,coverdell education savings account   
7as defined in section #ecj7;b77#a771   
but only if--  7,a7 such rollover       
contribution meets the requirements of  
section #djh7;d77#c71  7,b7 in the case 
of a rollover contribution from an      
eligible retirement plan described in   
clause 7iii71 7iv71 7v71 or 7vi7 of     
section #djb7;c77#h77;,b71 such         
contribution meets the requirements of  
section #djb7;c71 #djc7;b77#h71 or      
#deg7;e77#af71 whichever is applicable1 
and  7,c7 in the case of a rollover     

contribution from a ,coverdell education
 savings account1 such contribution     
meets the requirements of section       
#ecj7;d77#e74  ,for purposes of section 
#djh7;d77#c77;,b71 there shall be       
disregarded any qualified rollover      
contribution from an individual         
retirement plan 7other than a ,roth     
,,ira7 to a ,roth ,,ira4  4  7c7        
,effective date ,the amendments made by 
this section shall apply to rollover    
contributions made in taxable years     
beginning after ,december #ca1 #bjaf4   
#f4 #dja,kids4gov ,the ,secretary of    
,education shall establish an ,internet 
website 7to be known as #dja,kids4gov7  
on which information is provided to the 
public free of charge concerning the    
available options for tax-favored       
education savings accounts under the    
,internal ,revenue ,code of #aihf4