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                                                                                        Department of the Treasury
                                                                                        Internal Revenue Service
2023

Instructions for Form 

5498-ESA

Coverdell ESA Contribution Information

Section references are to the Internal Revenue Code          Contributions. You must report contributions, including 
unless otherwise noted.                                      rollover contributions, to any Coverdell ESA on Form 
                                                             5498-ESA. See the instructions under Box 1 and Box 2, 
Future Developments                                          later. If no reportable contributions were made for 2023, 
For the latest information about developments related to     no return is required.
Form 5498-ESA and its instructions, such as legislation 
                                                             For contributions made between January 1, 2024, and 
enacted after they were published, go to IRS.gov/
                                                             April 15, 2024, trustees and issuers should obtain the 
Form5498ESA.
                                                             participant's designation of the year for which the 
Reminders                                                    contributions are made.
In addition to these specific instructions, you should also  Rollovers and transfers.   Report on Form 5498-ESA 
use the 2023 General Instructions for Certain Information    all rollovers, including a direct trustee-to-trustee transfer 
Returns. Those general instructions include information      from one Coverdell ESA to another Coverdell ESA. A 
about the following topics.                                  rollover can be made from certain U.S. Savings Bonds or 
Who must file.                                             another Coverdell ESA. The contribution of a military 
When and where to file.                                    death gratuity to a Coverdell ESA is a rollover 
Electronic reporting.                                      contribution. Any amount distributed from a Coverdell 
Corrected and void returns.                                ESA may be rolled over to another Coverdell ESA and is 
Statements to recipients.                                  not taxable if it is paid no later than the 60th day after the 
Taxpayer identification numbers (TINs).                    date of such payment or distribution into another 
Backup withholding.                                        Coverdell ESA for the benefit of the same beneficiary or a 
Penalties.                                                 member of the beneficiary's family who has not attained 
Other general topics.                                      age 30 as of such date. The preceding sentence shall not 
                                                             apply to any payment or distribution if it applied to any 
  You can get the General Instructions for Certain           prior payment or distribution during the 12-month period 
Information Returns at IRS.gov/1099GeneralInstructions       ending on the date of the payment or distribution.
or go to IRS.gov/Form5498ESA.                                Family member. Family members of the designated 
Online fillable form. Due to the very low volume of          beneficiary include the beneficiary's spouse. Also 
paper Forms 5498-ESA received and processed by the           included are the beneficiary's children, stepchildren, foster 
IRS each year, this form has been converted to an online     children, and their descendants; siblings and their 
fillable format. You may fill out the form, found online at  children; parents, their siblings, and ancestors; 
IRS.gov/Form5498ESA, and send Copy B to the recipient.       stepparents; in-laws; the spouse of any of the foregoing; 
For filing with the IRS, follow the applicable procedures if and any first cousin of the designated beneficiary.
you are required to file electronically, or, for this form   Total distribution, no contributions. Generally, if a 
only, if you are qualified to file on paper, send in the     total distribution was made from an account during the 
black and white Copy A with Form 1096 that you print     year and no contributions (including rollovers) were made 
from the IRS website.                                        for that year, you do not need to file Form 5498-ESA.
                                                             Distributions. Report distributions from any Coverdell 
Specific Instructions                                        ESA on Form 1099-Q, Payments From Qualified 
File Form 5498-ESA, Coverdell ESA Contribution               Education Programs. Any change in the beneficiary of the 
Information, with the IRS for each person for whom you       Coverdell ESA is not treated as a distribution if the new 
maintained any Coverdell education savings account           beneficiary is a family member (see above) of the prior 
(ESA) during 2023.                                           beneficiary and has not reached the age of 30 (except for 
                                                             a beneficiary with special needs).
  A Coverdell ESA is a trust or custodial account created 
or organized in the United States exclusively for the        Statements to participants. If you are required to file 
purpose of paying the qualified education expenses of an     Form 5498-ESA, you must furnish a statement to the 
individual who is the designated beneficiary of the trust or beneficiary (participant) by April 30, 2024.
custodial account. The account must be designated as a       For more information about the requirement to furnish 
Coverdell ESA at the time it is created or organized in      statements to participants, see part M in the 2023 General 
order to be treated as a Coverdell ESA for tax purposes.     Instructions for Certain Information Returns.
The governing instrument creating the trust must meet the 
requirements of section 530(b)(1).

Aug 05, 2022                                             Cat. No. 34006Q



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Truncating beneficiary’s TIN on payee statements.             Box 1. Contributions (Other Than Amounts in 
Pursuant to Regulations section 301.6109-4, all filers of     Box 2)
this form may truncate a beneficiary’s TIN (social security   Enter contributions to a Coverdell ESA made from 
number (SSN), individual taxpayer identification number       January 1, 2023, through April 15, 2024, designated for 
(ITIN), adoption taxpayer identification number (ATIN), or    2023.
employer identification number (EIN)) on payee 
statements. Truncation is not allowed on any documents            Do not include rollovers in box 1. Report rollovers in 
the filer files with the IRS. A trustee’s or issuer's TIN may box 2.
not be truncated on any form. See part J in the 2023 
General Instructions for Certain Information Returns.         Box 2. Rollover Contributions
                                                              Enter any rollover contributions (including a military death 
Account number. The account number is required if you         gratuity and trustee-to-trustee transfer) to this Coverdell 
have multiple accounts for a recipient for whom you are       ESA received by you during 2023 (see Rollovers and 
filing more than one Form 5498-ESA. Additionally, the IRS     Transfers, earlier).
encourages you to designate an account number for all 
Forms 5498-ESA that you file. See part L in the 2023 
General Instructions for Certain Information Returns.

                                                              -2-                 Instructions for Form 5498-ESA (2023)






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