Year End Giving
On December 17, 2010, President Barack Obama signed H.R. 4853 into law, a tax bill that temporarily extends the federal estate tax and IRA charitable rollover. Both the House (277-148) and Senate (81-19) passed the bill, which also extends the current marginal tax rates for all taxpayers through 2012.
H.R. 4853 renews the federal estate tax for two years (through Dec. 31, 2012) at a 35 percent rate with the first $5 million ($10 million for households) of an estate exempt from tax.
The bill also retroactively extends the IRA charitable rollover from January 1, 2010 through December 31, 2011. The IRA charitable rollover allows taxpayers starting at age 70 1/2 to direct up to $100,000 per year from their individual retirement accounts (IRAs) to eligible charities without counting the distributions as income for tax purposes. H.R. 4853 allows taxpayers who make IRA charitable rollover gifts in January 2011 to count those gifts towards the 2010 tax year (the $100,000 limit still applies).
Please contact Sharon Sanderson, Director for Alumni and College Relations, at 706-886-6831, ext. 5210, if you would like more information concerning these and other gift planning ideas.
