Section 54.772 - Tax Exempt Status Requirements(a) This section is intended to meet the requirements of Section 529, Internal Revenue Code of 1986.(b) A payment of an amount due to the fund for a prepaid tuition contract must be made in cash or cash equivalent. A person may not make a payment to the fund in excess of the amounts required to be paid under a prepaid tuition contract.(c) The board shall maintain a separate accounting for each beneficiary.(d) The purchaser under a prepaid tuition contract and the beneficiary under the contract may not: (1) control or direct the investment of payments under the contract or any earnings of the fund; or(2) use any interest in the contract as security for a loan or other obligation.(e) The board shall make reports required by the secretary of the United States Treasury.Added by Acts 2007, 80th Leg., R.S., Ch. 1281, Sec. 1, eff. 6/15/2007.