Senate OKs 1-Year Extension for Charity Tax Breaks

The Senate voted Tuesday night to extend three charitable tax breaks that expired at the end of last year, allowing taxpayers to claim them on their 2014 returns if President Obama signs the measure as expected, reports Forbes. The temporary tax-extenders bill included a one-year reprieve for a popular provision allowing individual retirement account holders aged 70½ and older to donate up to $100,000 in IRA assets without reporting the withdrawal as taxable income.

Nonprofit groups had lobbied Congress to make permanent the IRA break and tax incentives for donating food inventories and conservation easements, but the House narrowly rejected legislation after the White House threatened a veto because the bill did not include offsets for the long-term lost revenue. Charity leaders called on Congress to take up the permanency issue again next year.