This bill changes tax rules to let people send money from their Individual Retirement Accounts (IRAs) directly to donor advised funds without having to pay income taxes on that money first.
Currently, seniors who are at least 70.5 years old can give money from their IRA directly to most charities tax-free, but they are specifically blocked from giving to donor advised funds. This bill would remove that restriction.
Donor advised funds act like a personal savings account for giving; you put money in to get a tax break now, and then you can choose which specific charities to support over time. This bill makes it easier for retirees to use these accounts.
The goal of the change is to encourage more charitable giving by giving retirees more flexibility in how and when they distribute their retirement savings to causes they care about.
If passed, these new rules would apply to any donations made after the date the bill officially becomes a law.
Milestones
2 milestones2 actions
Mar 3, 2026Senate
Read twice and referred to the Committee on Finance.
Mar 3, 2026
Introduced in Senate
Source Information
Document Type
Congressional Bill
Official Title
IRA Charitable Rollover Facilitation and Enhancement Act of 2026
Bill NumberS 3975
Congress119th Congress
ChamberSenate
Latest ActionRead twice and referred to the Committee on Finance.
