Pennsylvania Form PA-40 Schedule P – Refund Donations to PA 529 College & Career Savings Program (2026)
Last reviewed: 2025-11-08
Use the Pennsylvania Tax Form Calculator Form pennsylvania: Pennsylvania Form PA-40 Schedule P – Refund Donations to PA 529 College & Career Savings Program (2026) as a stand alone tax form calculator to quickly calculate specific amounts for your 2026 Pennsylvania state tax return. Alternatively, you can use one of our Combined Federal and State Tax Estimators to quickly calculate your salary, tax, and take-home pay.
Form PA-40 Schedule P allows you to contribute part or all of your Pennsylvania income-tax refund directly to a PA 529 College & Career Savings Program account. By donating through your refund, you help a child, grandchild, or other beneficiary save for future education costs while maintaining the tax advantages of a 529 plan. Contributions made through Schedule P are treated as new deposits into the designated account and may qualify for the same tax benefits as direct contributions.
You may divide your refund among up to five different 529 accounts, each identified by its 11-digit account number. Donations must be in whole-dollar amounts and cannot exceed the refund available on your PA-40. If you choose not to donate your refund, you do not need to file Schedule P.
How to Complete Schedule P
Follow these steps to complete the form:
- Lines 1a–1e: Enter up to five PA 529 College or Career Savings Program account numbers and the amount of your refund you want deposited into each. The account number must be 11 digits and correspond to an active account within the Pennsylvania 529 system.
- Total Line: The total donation on Line 1 must not exceed your total refund shown on PA-40 Line 33. If you over-allocate, the Department of Revenue will reduce each contribution proportionally.
- All donations are transferred electronically by the Pennsylvania Treasury Department after your return is processed. You will receive a contribution confirmation directly from the 529 plan administrator.
Funds designated on this form cannot be redirected or refunded once transferred. If your return is amended to change your refund, the donation amount will adjust automatically based on the revised total.
| 1a | PA 529 11-digit account number | Donation amount ($) | |
| 1b | PA 529 11-digit account number | Donation amount ($) | |
| 1c | PA 529 11-digit account number | Donation amount ($) | |
| 1d | PA 529 11-digit account number | Donation amount ($) | |
| 1e | PA 529 11-digit account number | Donation amount ($) | |
| Total Donation Amount (add entries above) | |||
Examples
Example 1 – Single Beneficiary: Your Pennsylvania refund is $400. You wish to deposit $200 into your child’s 529 plan (account 12345678901). Enter this account number on Line 1a with $200. The remaining refund ($200) will be sent to you by check or direct deposit.
Example 2 – Multiple Beneficiaries: Your refund is $1 000. You want to contribute $400 each to two grandchildren’s 529 accounts and retain $200 cash. List both account numbers on Lines 1a and 1b, enter $400 each, and the system automatically transfers $800 to those accounts and issues a $200 refund to you.
Example 3 – Full Refund Donation: If you wish to donate your entire refund, enter the account number and the full refund amount on Line 1a. Ensure your refund amount matches Line 33 of the PA-40 return.
Key Notes
- All entries must be whole-dollar amounts.
- Donations are treated as contributions for 2026 and may be deductible under Schedule O.
- Only accounts in the PA 529 College & Career Savings Program qualify — out-of-state 529 plans are not eligible.
- Refund donations cannot be withdrawn or reversed after transfer.
- Contributions count toward annual federal 529 gift-tax exclusion limits if made to someone else’s account.
Last reviewed: 2025-11-08: If you believe this form requires an update, please contact us.
Further Guidance and Resources
- Form PA-40 – Individual Income Tax Return
- Form PA-40 Schedule O – Other Deductions (HSA/529/Retirement)
- Pennsylvania 529 College & Career Savings Program
- Official PA-40 Schedule P (2024 PDF)
Schedule P offers taxpayers a simple, voluntary way to invest in Pennsylvania’s education savings programs using their own refunds. Redirecting even a small portion of your refund can make a long-term difference in helping a student achieve higher-education goals while retaining state-tax benefits.
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Frequently Asked Questions
What is Form PA-40?
Form PA-40 is the Pennsylvania Individual Income Tax Return used by residents, part-year residents, and nonresidents to report taxable income and claim credits or deductions.
Can I amend to claim a refund?
Yes, if withholding or estimated payments exceeded revised liability.
Does PA tax long-term capital gains?
Yes—PA taxes “net gains from the sale, exchange, or disposition of property.” This wage page doesn’t include capital gains; model them with Schedule D.
What rate does Pennsylvania use?
Pennsylvania has a flat personal income tax rate of 3.07 % for all taxable income.
Where do I enter the exclusion amount?
You do not enter it separately; if fully excluded, you simply omit the gain from your PA-40. Partial exclusions must be shown on Schedule 19.
Important Notes
All calculations are estimates for guidance only. Always review your return and consider professional advice when submitting official filings.