Can I use 529 funds to pay for an Executive Function Coach?

<p>It seems like the IRS regs would allow 529 funds to be used to pay an EF coach:</p>

<p>
[quote]
Expenses for special needs services needed by a special needs beneficiary must be incurred in connection with enrollment or attendance at an eligible educational institution.

[/quote]
</p>

<p>Doesn't that just mean that you can't use the 529 funds to pay for an EF coach if you aren't in school?</p>

<p>Ask the IRS. Do not ask this question on a Message board. </p>

<p>I will say that if you can look to the future, and feel condfident that you can explain your reasoning to an IRS Auditor accross the desk, and get exonerated, then chances are it's a valid use. The law basically stipulates that all 529 monies must be used for college expenses.</p>

<p>ASK YOUR LOCAL IRS OFFICE!</p>

<p>LOl, I was hoping that someone else had already talked to the IRS.</p>

<p>"must be incurred"</p>

<p>Doesn't that just mean that you can't use the 529 funds to pay for an EF coach if you aren't in school?</p>

<p>thats what it means. seems straightforward to me, considering how convoluted IRS instructions can some time be.</p>

<p>I would read the qualifier "in connection with enrollment or attendance at an eligible educational institution" to be the imperative clause. Is this life coach somehow connected to the college or is it a condition of the student's enrollment? If not, I would run it by a licensed tax professional if you really don't want to take the penalty for using 529 funds for other than qualified expenses.</p>

<p>Update (from a tax lawyer): Congress told Treasury to define "special needs services" but it hasn't gotten around to promugating a definition yet.</p>

<p>What is an executive function coach?</p>

<p>There's not much point in asking the IRS since they don't guarantee their answers are correct.</p>