I live in Washington (no state income tax, crappy 529 plan) but work in Oregon (fat state income tax and an improving 529 plan). My first question is: may I use the Oregon state income tax deduction ($2000) even though I don't live there?
Next issue: I decided prior to Oregon's switch from Strong to Oppenheimer to invest in New York's plan because I was attracted by the low expenses and the multiple investment options. If I choose down the road to move my money to the Oregon plan (say, because i CAN take advantage of the OR state income tax deduction), is New York going to hammer me for its state income taxes? Can they do that? The language is nebulous at best.
Thanks for any help you can give me, folks. My daughter is only three months old & I'd hate to go too far down the road & find out I screwed up.