Ohio House passes income tax deduction bill for 529 plans and ABLE accounts

The Ohio House of Representatives convened on June 4, 2025, to discuss several key legislative measures aimed at improving tax deductions, property tax assessments, healthcare access for small employers, and addressing catalytic converter theft.

The meeting began with a focus on House Bill 48, which proposes to raise the annual tax deduction limit for married joint filers contributing to Ohio's 529 education savings plans and ABLE accounts from $4,000 to $8,000. Representative Adam Matthews, the bill's sponsor, emphasized that this change would eliminate the existing marriage penalty in the tax code and index the deduction to inflation starting in 2026. The bill received unanimous support, passing with 90 affirmative votes and no opposition.

Following this, House Bill 124 was introduced by Representative Thomas Hall, aimed at reforming property tax assessments by empowering county auditors to determine property values based on local sales data. Hall highlighted the need for local control in property valuation to ensure fairness for homeowners. This bill also passed unanimously, reflecting bipartisan support.

Next, House Bill 133 was presented by Representative Craig, which seeks to provide a nonrefundable tax credit for small employers who contribute to individual coverage health reimbursement arrangements (ICRAs). This initiative aims to alleviate the burden of rising healthcare costs for small businesses. The bill garnered significant support, passing with 91 affirmative votes.

The assembly then addressed the ongoing issue of catalytic converter theft with a new bill aimed at increasing penalties for such crimes. Representative Plummer noted the widespread impact of these thefts on individuals and businesses alike. The bill passed with 91 votes in favor and 2 against.

Lastly, the House considered Senate Bill 27, which designates March 20 as Amnioblastoma Awareness Day. This bill, inspired by a local survivor, aims to raise awareness about this rare condition. It passed unanimously with 92 votes.

In conclusion, the Ohio House of Representatives made significant strides in addressing tax reform, healthcare access, property tax fairness, and public safety during this session, reflecting a commitment to improving the lives of Ohioans across various sectors.