Pension Protection Act 2006

A new tax-saving opportunity was signed into law by President Bush on August 17, 2006. The Pension Protection Act of 2006 gives new tax incentives for charitable gifts for donors who are 70½ or older, or will turn 70½ on or before December 31, 2007.

The new law allows you to use funds from your IRA to make a lifetime charitable gift, tax free.

The benefits to you:

• You may be receiving minimum distributions from an IRA as part of your retirement income since you turned 70½. You may not need these IRA distributions, but by law you have to take them and pay income tax on them. Under the new law, if you transfer those minimum distributions to your favorite charity, you will avoid paying income tax on them.
• Your transfer will not generate a tax deduction as your donation is excluded from your income, so you do not have to itemize this tax deduction to receive the benefit.

• You are currently aged 70½ or older, or will be on or before December 31st, 2007
• You make your gifts on or before December 31st, 2007
• Your gifts do not total more than $100,000 for 2007
• Your funds are transferred directly from an IRA or Rollover IRA
• You make your gift to a public non-profit charity (such as Sigma Xi)

Are you experiencing problems with your IRA custodian? Click here.

Please consult your financial advisor for further information pertinent to your own specific circumstances.

And if you would like any further information on the Pension Protection Act of 2006 and how your gift could benefit your favorite charity, including Sigma Xi, please e-mail development@sigmaxi.org, or call 800-243-6534.

Sigma Xi is a 501(c)(3) not-for-profit. All donations made are tax-deductible.
EIN available upon request