Legislation Affecting Charitable Gifts
The American Council on Gift Annuities, along with charitable organizations throughout the country, has advocated legislation allowing individuals to make tax-free gifts from Individual Retirement Accounts and other retirement plans. This legislation has not yet passed. Currently, withdrawals from such retirement plans are taxed as earned income. However, the charitable tax deduction and favorable tax treatment of gift annuity payments might still make sense to an individual who would like to support a favorite charity and receive a life income.