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Senators Offer Bill to Help Charities Seek IRA Gifts

March 17, 2011, 7:27 pm

Sen. Charles Schumer, a New York Democrat, and nine other senators have introduced a new bill to permanently extend a provision that allows people ages 70 1/2 or older to transfer up to $100,000 tax-free from their individual retirement accounts to charity.

The measure now expires at year’s end, but S557 would make it permanent. It also includes other measures charity leaders have long advocated: It lowers the minimum age of such donors to 59 1/2, removes the $100,000 cap on annual donations, and allows IRA gifts to be made to donor-advised funds and supporting organizations, which is currently not allowed.

Organizations such as the Council on Foundations, Partnership for Philanthropic Planning, and other groups that represent charities support the measure and are urging their members to lobby their Congressional representatives in support of it.

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