Bill > HR2891

This bill, called the "IRA Charitable Rollover Facilitation and Enhancement Act of 2025", proposes to amend the Internal Revenue Code of 1986 to remove a current restriction that prevents individuals from making charitable rollovers from their Individual Retirement Accounts (IRAs) to Donor Advised Funds (DAFs). A charitable rollover allows individuals to directly transfer funds from their IRA to a qualified charitable organization without incurring tax penalties, and this bill specifically seeks to expand that option by eliminating language that currently prohibits such transfers to donor advised funds. Currently, donors can make tax-free charitable distributions from their IRAs to certain charitable organizations, but not to DAFs, which are philanthropic vehicles that allow donors to make a charitable contribution, receive an immediate tax deduction, and then recommend grants from the fund to specific charities over time. The amendment would take effect immediately after the bill's enactment, meaning that IRA holders would then be able to make tax-free distributions to donor advised funds, potentially providing more flexibility in their charitable giving strategies.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/2891/all-info