Summary for Mutual Fund Investors
The Economic Growth and Tax Relief Reconciliation Act of 2001 contains far-reaching implications for taxpayers over the next several years. For your information, we have compiled a brief summary of some of the changes that may be important to mutual fund investors.

 
Some Important Provisions of the Tax Relief Act:
 

Adjustments to Traditional and Roth IRA Rules:

• Contribution Limits: The current maximum annual contribution of $2,000 will be increased to:
  * $3,000 in 2002-2004, 
  * $4,000 in 2005-2007 and 
  * $5,000 for 2008 and thereafter. 
  The limit will be indexed for inflation (increased with the rate of inflation) in $500 increments starting in 2008.
   

• "Catch-up" Contributions: Individuals who are at least 50 years of age will be permitted to make contributions in addition to the previously stated limits. They may contribute up to:
  * an additional $500 each year from 2002-2005 and 
  * an additional $1,000 each year from 2006 and thereafter.

Adjustments to Education IRA Rules:

• Contribution Limits: The current maximum annual contribution of $500 will be increased to $2,000 in 2002. Also starting in 2002, contributions on behalf of the same beneficiary may be made to both an Education IRA and a Section 529 College Savings Plan in the same year.
   

• Phase-Out Range: The current Adjusted Gross Income phase-out range for married couples filing jointly will be increased from $150,000-$160,000 to $190,000-$220,000.

Sunset Provisions:

Every change written into the Tax Relief Act contains a provision for its repeal after December 31, 2010. It remains to be seen whether future Congresses will make these changes permanent or allow them to expire in 2010. 

Westcore Funds encourages you to consider these important tax law changes and how they impact your retirement and education saving goals. If you have additional questions, please contact a Westcore Investor Service Representative at invest@westcore.com or at 1-800-392-CORE (2673).

Please note that this is in no way an exhaustive summary of all the changes encompassed in the Economic Growth and Tax Relief Reconciliation Act of 2001.

This literature should not be construed to be investment advice nor is it intended as a substitute for individual tax or legal advice.

This material must be accompanied or preceded by a prospectus, which contains more complete information regarding potential risks and applicable fees and expenses. Please read it carefully before investing. Westcore Funds are distributed by ALPS Distributors, Inc.

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