A qualified general contribution is not counted as the child's income
What the document says“Gross income of an account beneficiary shall not include any qualified general contribution to a Trump account of the account beneficiary.”
The section adds a new section 139J to the Internal Revenue Code of 1986 leaving a qualified general contribution to a beneficiary's Trump account out of that beneficiary's gross income, with terms taking the meaning they have in section 530A.
What the document actually says“Gross income of an account beneficiary shall not include any qualified general contribution to a Trump account of the account beneficiary.”
A general gift into the account is not counted as the child's income.
So the child owes no tax on it. That covers gifts from charities and governments. It does not cover money the family puts in.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.