I enrolled into college. I'm thinking to enroll into 529 plan to pay my college fees for the coming semester. This is with an intent that I will be able to save tax on the money used for tuition. Is this an option? Can I deposit and withdraw money in 529 in a short timeframe? Please suggest.
You can deduct up to $4,000 of contributions from your state (not federal) taxes in Georgia. So that would save you $230 if you're in the highest Georgia tax bracket (5.75%)
I can't find anything on their site to indicate how long after a contribution is made before it's eligible for withdrawal, but in my state it's only 7 days.
I would say it's worth a call to see if there's a minimum period before withdrawals are eligible, but you could also pay out of pocket and just "reimburse yourself" later in the year - the funds don't have to go directly to the school.