FOR IMMEDIATE RELEASE:
December 3, 2014
Max Samis, Rabinowitz Communication, email@example.com
Jewish Federations Grateful for IRA Charitable Rollover Extension, Urge Long-Term Fix
Washington, D.C. – Jewish charities commended the U.S. House of Representatives today for voting to renew the IRA Charitable Rollover, an important tax extender, but noted that a more permanent solution would provide greater certainty for taxpayers and charitable organizations that depend on tax-free distributions from individual retirement accounts (IRA) to bolster their fundraising activities. The Jewish Federations of North America welcomed the House action and urged the Senate to consider a long-term solution when they debate the legislation later this week.
“Although we are grateful that the House of Representatives has renewed the IRA Charitable Rollover for 2014,” stated William Daroff, senior vice president for public policy and director of the Washington office for Jewish Federations, “we also feel it would be much more prudent to make this important giving incentive a permanent part of the tax law, providing donors and charitable organizations with certainty in the future. We are hopeful that Congress will be able to come together in the future to provide this much needed long-term fix. This will enable charitable organizations like Jewish Federations to work with donors and others to leverage retirement assets that can be used today to care for the most vulnerable among us.”
The current version of the IRA charitable rollover was enacted in August 2006, as part of the Pension Protection Act of 2006. The provision, which again expired on December 31, 2013, permits individuals age over 70 ½ to make annual tax-free gifts up to $100,000 directly from their IRA to eligible public charities. It has been an overwhelming success as a giving incentive, helping charities provide needed services at a time of increasing demand and when fewer resources are available from government sources. In a little over seven years, Jewish Federations have received close to $40 million from IRA charitable rollovers.
Jewish Federations will continue to emphasize the importance of making the IRA charitable rollover permanent and advocate for a more robust version of this proven charitable giving incentive.
The Jewish Federations, collectively among the top 10 charities on the continent, protects and enhances the well-being of Jews worldwide through the values of tikkun olam (repairing the world), tzedakah (charity and social justice) and Torah (Jewish learning).