Par. 2. Section 301.6434-1 is added to read as follows:
(a) In general. This section provides rules for the Trump accounts contribution pilot program and pilot program election under section 6434 of the Internal Revenue Code (Code). A pilot program-electing individual must make a pilot program election with respect to an eligible child of such individual in order for the Secretary to make a $1,000 contribution into the Trump account for which such eligible child is the account beneficiary ($1,000 pilot program contribution).
(b) Definitions. The following definitions apply solely for purposes of this section.
(1) Eligible child. The term eligible child means an individual:
(i) Who the pilot program-electing individual anticipates will be that individual's qualifying child under section 152(c) of the Code for the taxable year of the pilot program-electing individual in which the pilot program election is made;
(ii) Who is born after December 31, 2024, and before January 1, 2029;
(iii) Who is a United States citizen;
(iv) To whom a social security number has been issued; and
(v) With respect to whom no prior pilot program election has been made by any individual and processed by the Secretary.
(2) Pilot program election. The term pilot program election means an election under section 6434.
(3) Pilot program-electing individual. The term pilot program-electing individual means an individual authorized to make a pilot program election with respect to an eligible child. An individual is authorized to make a pilot program election if the eligible child for whom the pilot program election is to be made meets the requirements in paragraph (b)(1)(i) of this section with respect to such individual.
(4) Secretary. The term Secretary means the Secretary of the Treasury or the Secretary's delegate.
(5) Social security number. The term social security number has the meaning given such term in section 24(h)(7)(B) of the Code, determined by substituting “before the date of the election made under section 6434” for “before the due date of such return” in section 24(h)(7)(B)(ii).
(6) Special taxable year. The term special taxable year means a taxable period of an eligible child for a Federal income tax liability under subtitle A of the Code solely for the purposes of section 6434:
(i) That is deemed to arise solely upon the Secretary's processing of a pilot program election with respect to the eligible child;
(ii) That is deemed to close immediately after arising;
(iii) For which no Federal income tax liability is owed; and
(iv) Which bears no relation to the Federal income tax liability of the pilot program-electing individual for any taxable period.
(7) Trump account. The term Trump account has the meaning given such term in section 530A(b)(1) of the Code.
(c) Effect of pilot program election— (1) In general. A pilot program election must be made by a pilot program-electing individual with respect to the special taxable year of an eligible child of the pilot program-electing individual. A pilot program election has no effect on any taxable period of the pilot program-electing individual.
(2) Deemed payment. Upon the Secretary's processing of a pilot program election with respect to an eligible child, the eligible child will be treated as making a payment in the amount of $1,000 against the eligible child's Federal income tax liability under subtitle A of the Code for the eligible child's special taxable year, resulting in a $1,000 overpayment for the eligible child's special taxable year.
(3) Refund of overpayment as contribution. The $1,000 overpayment described in paragraph (c)(2) of this section will only be refunded by the Secretary as a $1,000 pilot program contribution directly to the Trump account established with respect to the eligible child. Under no circumstances will a refund be made under the provisions of section 6434 except as a $1,000 pilot program contribution to the Trump account established with respect to the eligible child.
(4) Excepted from reduction or offset. The $1,000 overpayment described in paragraph (c)(2) of this section will be refunded by the Secretary as a $1,000 pilot program contribution to the Trump account of the eligible child without being offset against past-due debts under common law or section 6402(c), (d), (e), and (f) of the Code or credited under section 6402(a) against any other assessed Federal tax liabilities of the pilot program-electing individual or eligible child.
(5) Not a claim for credit or refund. A pilot program election does not constitute a claim for credit or refund.
(d) Timing of election —(1) Election period. A pilot program election must be made:
(i) No earlier than the day the eligible child meets the definition of an eligible child under paragraph (b)(1) of this section; and
(ii) No later than December 31 of the calendar year in which the eligible child attains age 17.
(2) Resolving multiple elections for an eligible child. Only the first pilot program election processed by the Secretary with respect to an eligible child will result in a $1,000 overpayment being refunded as a $1,000 pilot program contribution by the Secretary into the Trump account of such eligible child under paragraph (c)(3) of this section. Once the Secretary processes the first pilot program election with respect to an eligible child, no further pilot program elections for such eligible child will be processed.
(3) 9100 relief not available. Relief is not available under §§ 301.9100-1, 301.9100-2, and 301.9100-3 to make a late pilot program election under section 6434.
(e) Manner of making election —(1) In general. A pilot program election must be made by a pilot program-electing individual on the form prescribed by the Secretary or through an electronic application or web page made available by the Secretary, in accordance with applicable instructions. No pilot program election will be processed and no $1,000 pilot program contribution to a Trump account under paragraph (c)(3) of this section will be made unless the pilot program-electing individual makes the pilot program election in such manner.
(2) Social security number required. A pilot program election made with respect to an eligible child must include the eligible child's social security number. No pilot program election will be processed and no $1,000 pilot program contribution to a Trump account under paragraph (c)(3) of this section will be made unless such pilot program election includes the eligible child's social security number.
(f) Applicability date. This section applies on or after January 1, 2026.