House Approves Non-Itemizer Charitable Deduction
Under the terms of the House bill, the amount of allowable deduction for charitable contributions would increase to $100 over the next ten years. The amounts would double for married filing jointly taxpayers.
In addition, the House bill includes a provision that would allow taxpayers age 70 1/2 or older to make tax-free distributions from their individual retirement accounts if the funds are used as charitable contributions. No charitable deduction would be allowed for a contribution of this type.
The bill faces a stiff hurdle in the Senate, where support for this legislation is not widespread.