IRA Charitable Rollover Facilitation and Enhancement Act of 2025

Key Points

• This bill changes tax laws to allow people to move money directly from their retirement accounts to special charity accounts called donor advised funds.
• Under current law, seniors can give money from their IRAs to most charities without it counting as taxable income, but they are currently banned from sending that money to donor advised funds. This bill would end that restriction.
• Donor advised funds are popular because they let people put money aside for charity now and choose which specific groups to help later on. This bill gives retirees more flexibility in how they manage their giving.
• This change would help retirees meet their required yearly retirement withdrawals while supporting causes they care about without facing a large tax bill.
• The new rules would apply to any money moved from an IRA to one of these funds starting as soon as the bill is signed into law.

Impact Analysis

Govbase has not yet run an impact analysis on this legislation.