The Pension Protection Act Expires Dec. 31, 2007
In 2006, Congress took important steps to strengthen America's retirement system while also encouraging additional charitable giving. The Pension Protection Act of 2006 may offer you new opportunities for tax-free charitable giving.
Of special note, the new law includes incentives for those 70.5 years of age and older who would like to make charitable gifts from potentially taxable Individual Retirement Account (IRA) funds. For 2006 and 2007 only, Congress is allowing individuals 70.5 and older with traditional or Roth IRAs to make tax-free gifts directly to qualified charities, avoiding tax liability on withdrawals made during ones lifetime as well as estate tax if IRAs are left to loved ones other than a spouse. Individuals who are required to take unneeded IRA withdrawals, and others who have experienced limitations on tax benefits in the past, will find this law of particular interest. This congressional act expires on December 31, 2007.
For more information please contact
Liz Saccardi at (845) 473-4440, ext. 111
or lsaccardi@scenichudson.org.