Charities Lobby for Permanent IRA Tax Breaks
March 22, 2007 | Read Time: 1 minute
Nonprofit groups are pressing Congress to prolong a temporary tax break that allows people age 70 1/2 or older to transfer $100,000 from individual retirement accounts to charities, reports Forbes magazine.
The provision expires at the end of 2007, but two lawmakers from North Dakota have introduced House and Senate bills to make the tax break permanent.
Donations from retirement accounts have surpassed $57-million so far but have been limited because many private corporations, custodians of the accounts, refuse to re-train staff members to administer a temporary provision, the magazine says.
The proposal in the House and Senate would also drop the age requirement by 11 years, remove the $100,000 cap, and allow donors to transfer money to all types of charity funds, including donor-advised funds, non-operating foundations, and supporting organizations.
Read The Chronicle of Philanthropy’s coverage of the proposed legislation as well as tips for seeking IRA gifts,
(A paid subscription is required to view the Chronicle articles.)
