Congress appears to be on the verge of passing an end-of-year spending bill that includes the bipartisan Legacy IRA Act, which would encourage charitable giving by enabling seniors to make tax-free contributions from individual retirement accounts (IRAs) to charities through life-income plans. The Legacy IRA Act is part of bipartisan retirement legislation that is included in the omnibus spending bill by congressional leaders today.
Raymond P. Vara, Jr., chairman of the board of the American Heart Association, a global force for healthier lives for all, issued the following statement:
"With passage of the bipartisan Legacy IRA Act, Congress would incentivize charitable giving to countless nonprofits nationwide that continue to face significant financial and operational obstacles in the wake of the pandemic. The Legacy IRA Act builds upon the IRA Charitable Rollover, which was enacted in 2006 and has generated millions of dollars in new or increased contributions to local and national charities.
"For four years, the American Heart Association has led a coalition of nearly 60 of the country's largest charities and faith-based organizations to urge enactment of the Legacy IRA Act. These organizations, and so many others, provide critical services in communities across the country, such as health research and patient education, food assistance, domestic violence support, childcare, youth homeless shelters, cultural and arts programming and more. The Legacy IRA Act would make it easier for philanthropic-minded individuals to make tax-free contributions to vital causes from their IRAs.
"The American Heart Association greatly appreciates the work of Senators Kevin Cramer and Debbie Stabenow, and Representatives Don Beyer and Mike Kelly, who championed the importance of prioritizing charitable giving and ensured the Legacy IRA Act was included in the omnibus package.
"Our country is stronger when everyone has the opportunity to support the charitable organizations that work tirelessly to improve and enrich our communities. With the passage of the Legacy IRA Act, Congress will make it easier for seniors to give and will bolster nonprofits nationwide."
