Contribute to charity from your IRA

Red bow on bundle of money

The Pension Protection Act of 2006 allows seniors, 70½ and older, to transfer up to $100,000 from an individual retirement account to a qualified charity without paying any income tax on the donation.

Right now, this option is only available during 2007.

But lawmakers have introduced a bill to extend and expand this opportunity to show your generosity.

Known as "The Public Good IRA Rollover Act of 2007," the proposed legislation would make the tax incentive provision a permanent part of the tax code and expand the amount a person can donate.

It would also decrease to 59½ the age qualified IRA holders can make tax-deferred charitable donations from their accounts.

Click here to see our 6 smart moves for managing your IRA.

Follow Interest.com on Twitter.