Do I have to pay taxes on my account?

As long as the money in your ABLE account is used for eligible expenses, it won’t be counted as income for your state or federal taxes.

If a purchase doesn’t qualify as an eligible expense, you’ll have to pay taxes on the earnings and a 10% penalty on the earnings.

If you want to know more about the IRS regulations, you can find info here. If you want to know more about what counts as a qualified expense, you can find info here.