Trump Accounts may open a Roth path for children. Families have signed up nearly 6 million children for Trump Accounts, the new tax-advantaged savings accounts for minors that launch July 4. The accounts can receive up to $5,000 a year in after-tax contributions from family, friends, or employers, while some children also may qualify for a $1,000 federal seed contribution. Roth conversions can trigger income taxes, and those taxes could apply when unearned income—such as income from a Roth conversion—exceeds $2,700.
Minnesota expands farmer tax credit. Minnesota lawmakers removed the 2026 funding cap for the state’s Beginning Farmer Tax Credit, after money for the program ran out almost immediately in January and hundreds of farmers were turned away. The credit, created in 2017, encourages established farmers to rent or sell land, livestock, or equipment to newer farmers. Asset owners can receive up to $7,000 for cash rentals, $10,000 for share rentals, and $50,000 for sales, while beginning farmers also can receive an educational credit to help pay for farm business management training.
Maryland gas tax will rise in July. Maryland’s gas tax will increase July 1, rising from 46 cents to 46.6 cents per gallon. The diesel tax will rise from 46.75 cents to 47.45 cents per gallon. The comptroller’s office adjusts the tax rate each year under state law, and this year’s increase follows two years of declines. Maryland’s average gas price was $4.14 per gallon as of June 2, below the national average of $4.29 but well above last year’s $3.04 state average.
India weighs bond tax cuts to attract foreign investors. India may cut taxes on bonds held by foreign investors and remove some ownership caps as it works to stabilize the rupee and attract more foreign capital. The cabinet is expected to consider reducing or eliminating a 20 percent levy on interest earned from bonds, while the Reserve Bank of India may allow overseas investors to buy some long-term sovereign notes without limits. The proposal comes after the rupee hit a record low in May, pressured by US trade tariffs, foreign fund outflows, and higher oil import costs tied to the Iran war.
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