Can assets in a NYS Saves 529 plan be transferred to a step nephew.
Father has remarried, and step Mother has a grandson. Would like to transfer account to him.
Can this be done without being tax on the transfer?
What is the relationship between the current beneficiary and the account owner?
Are you the account owner? If you are and I understand you correctly, your father has remarried and you want to make your step-mother's grandson the new beneficiary. As noted above, please identify the current account beneficiary.
The current account Beneficiary is the daughter of the account Holder( her father).
Father is remmaried and Father wants to transfer the account to his new wife's grandson.
A change of beneficiary without tax consequences is allowed if the desired new beneficiary is a member of the current beneficiary's family. The IRS does not consider a step-nephew to be a member of the family.
See IRS pub 970, pg. 54: