Charities Have Raised at Least $25-Million From New Tax Break
January 29, 2007 | Read Time: 1 minute
Nonprofit groups have jumped on a temporary tax break that allows older people to donate up to $100,000 a year to charity from their individual retirement accounts, reports The Wall Street Journal.
The provision, part of August’s Pension Protection Act, allows for tax-free donations as long as the money goes directly to charities and is not funneled through another type of account.
Charities have netted at least $25-million from the new donation method, the newspaper says.
Organizations have pursued those donations aggressively because the tax break expires at the end of this year. However, charities are pressing Congress to extend the provision.
Read The Chronicle of Philanthropy’s coverage of the tax break for retirement gifts.
(Paid subscriptions are required to view both articles.)
