39–006 

113TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 2d Session 113–496 

PERMANENT IRA CHARITABLE CONTRIBUTION ACT OF 

2014 

JUNE 26, 2014.—Committed to the Committee of the Whole House on the State of 

the Union and ordered to be printed 

Mr. CAMP, from the Committee on Ways and Means, 

submitted the following 

R E P O R T 

together with 

DISSENTING VIEWS 

[To accompany H.R. 4619] 

[Including cost estimate of the Congressional Budget Office] 

The Committee on Ways and Means, to whom was referred the 

bill (H.R. 4619) to amend the Internal Revenue Code of 1986 to 

make permanent the rule allowing certain tax-free distributions 

from individual retirement accounts for charitable purposes, having 

considered the same, report favorably thereon with an amendment 

and recommend that the bill as amended do pass. 

CONTENTS 

Page 

I. SUMMARY AND BACKGROUND ............................................................... 2 

A. Purpose and Summary ..................................................................... 2 

B. Background and Need for Legislation ............................................. 2 

C. Legislative History ............................................................................ 2 

II. EXPLANATION OF THE BILL ................................................................... 3 

A. Tax-Free Distributions from Individual Retirement Plans for 

Charitable Purposes (sec. 408(d)(8) of the Code) ......................... 3 

III. VOTES OF THE COMMITTEE .................................................................... 7 

IV. BUDGET EFFECTS OF THE BILL ............................................................ 7 

A. Committee Estimate of Budgetary Effects ...................................... 7 

B. Statement Regarding New Budget Authority and Tax Expenditures Budget Authority .................................................................. 8 

C. Cost Estimate Prepared by the Congressional Budget Office ....... 8 

D. Macroeconomic Impact Analysis ...................................................... 9 

V. OTHER MATTERS TO BE DISCUSSED UNDER THE RULES OF 

THE HOUSE .............................................................................................. 9 


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A. Committee Oversight Findings and Recommendations ................. 9 

B. Statement of General Performance Goals and Objectives ............. 9 

C. Information Relating to Unfunded Mandates ................................ 10 

D. Applicability of House Rule XXI 5(b) .............................................. 10 

E. Tax Complexity Analysis .................................................................. 10 

F. Congressional Earmarks, Limited Tax Benefits, and Limited 

Tariff Benefits ................................................................................. 10 

G. Duplication of Federal Programs ..................................................... 10 

H. Disclosure of Directed Rule Makings .............................................. 11 

VI. CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED 11 

VII. DISSENTING VIEWS ................................................................................... 13 

The amendment is as follows: 

Strike all after the enacting clause and insert the following: 

SECTION 1. SHORT TITLE. 

This Act may be cited as the ‘‘Permanent IRA Charitable Contribution Act of 

2014’’. 

SEC. 2. RULE ALLOWING CERTAIN TAX-FREE DISTRIBUTIONS FROM INDIVIDUAL RETIREMENTS ACCOUNTS FOR CHARITABLE PURPOSES MADE PERMANENT. 

(a) IN GENERAL.—Section 408(d)(8) of the Internal Revenue Code of 1986 is 

amended by striking subparagraph (F). 

(b) EFFECTIVE DATE.—The amendment made by this section shall apply to distributions made in taxable years beginning after December 31, 2013. 

I. SUMMARY AND BACKGROUND 

A. PURPOSE AND SUMMARY

H.R. 4619, reported by the Committee on Ways and Means, provides that individuals who are at least 701⁄2 years old may make 

tax-free distributions of up to $100,000 per year from an individual 

retirement account (IRA) to a qualifying charitable organization. 

An identical, temporary provision expired for taxable years beginning after December 31, 2013. 

B. BACKGROUND AND NEED FOR LEGISLATION

While the Committee continues actively to pursue comprehensive 

tax reform as a critical means of promoting economic growth and 

job creation, the Committee also believes that it is important to 

provide individuals and small businesses permanent, immediate 

tax relief to encourage faster economic growth and job creation, 

while fostering charitable giving. By restoring and making permanent the IRA charitable distribution option, H.R. 4619 makes permanent an important incentive to encourage taxpayers to contribute to charitable and religious organizations that support important programs across the nation. According to testimony received by the Committee, in the first two years it was available, 

the IRA charitable distribution option prompted more than $140 

million in charitable donations, with the median gift just under 

$4,500, to a broad range of tax-exempt organizations from social 

service providers and religious organizations to cultural institutions and schools, organizations that benefit communities nationwide. 

C. LEGISLATIVE HISTORY

Background 

H.R. 4619 was introduced on May 8, 2014, and was referred to 

the Committee on Ways and Means. 


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1Secs. 170(c)(3)–(5). 

2Sec. 170(c)(1). 

3Secs. 170(b) and (e). 

4Sec. 170(a). 

Committee action 

The Committee on Ways and Means marked up H.R. 4619, the 

Permanent IRA Charitable Contribution Act of 2014, on May 29, 

2014, and ordered the bill, as amended, favorably reported (with a 

quorum being present). 

Committee hearings 

The need for permanent rules regarding IRA rollovers for charitable purposes was discussed at no fewer than two hearings during 

the 112th and 113th Congresses: 

• Select Revenue Measures Subcommittee Hearing on Certain Expiring Tax Provisions (April 26, 2012); and 

• Full Committee Hearing on Tax Reform and Charitable 

Contributions (February 14, 2013). 

II. EXPLANATION OF THE BILL 

A. TAX-FREE DISTRIBUTIONS FROM INDIVIDUAL RETIREMENT PLANS

FOR CHARITABLE PURPOSES (SEC. 408(d)(8) OF THE CODE) 

PRESENT LAW

In general 

If an amount withdrawn from a traditional individual retirement 

arrangement (‘‘IRA’’) or a Roth IRA is donated to a charitable organization, the rules relating to the tax treatment of withdrawals 

from IRAs apply to the amount withdrawn and the charitable contribution is subject to the normally applicable limitations on deductibility of such contributions. An exception applies in the case 

of a qualified charitable distribution. 

Charitable contributions 

In computing taxable income, an individual taxpayer who 

itemizes deductions generally is allowed to deduct the amount of 

cash and up to the fair market value of property contributed to the 

following entities: (1) a charity described in section 170(c)(2); (2) 

certain veterans’ organizations, fraternal societies, and cemetery 

companies; 1 and (3) a Federal, State, or local governmental entity, 

but only if the contribution is made for exclusively public purposes.2 The deduction also is allowed for purposes of calculating alternative minimum taxable income. 

The amount of the deduction allowable for a taxable year with 

respect to a charitable contribution of property may be reduced depending on the type of property contributed, the type of charitable 

organization to which the property is contributed, and the income 

of the taxpayer.3

A taxpayer who takes the standard deduction (i.e., who does not 

itemize deductions) may not take a separate deduction for charitable contributions.4

A payment to a charity (regardless of whether it is termed a 

‘‘contribution’’) in exchange for which the donor receives an ecoVerDate Mar 15 2010 06:40 Jul 01, 2014 Jkt 039006 PO 00000 Frm 00003 Fmt 6659 Sfmt 6602 E:\HR\OC\HR496.XXX HR496

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5Sec. 170(f)(8). For any contribution of a cash, check, or other monetary gift, no deduction is 

allowed unless the donor maintains as a record of such contribution a bank record or written 

communication from the donee charity showing the name of the donee organization, the date 

of the contribution, and the amount of the contribution. Sec. 170(f)(17). 6Sec. 6115. 

7Secs. 170(f), 2055(e)(2), and 2522(c)(2). 

8Sec. 170(f)(2). 

nomic benefit is not deductible, except to the extent that the donor 

can demonstrate, among other things, that the payment exceeds 

the fair market value of the benefit received from the charity. To 

facilitate distinguishing charitable contributions from purchases of 

goods or services from charities, present law provides that no charitable contribution deduction is allowed for a separate contribution 

of $250 or more unless the donor obtains a contemporaneous written acknowledgement of the contribution from the charity indicating whether the charity provided any good or service (and an estimate of the value of any such good or service provided) to the taxpayer in consideration for the contribution.5 In addition, under 

present law, any charity that receives a contribution exceeding $75 

made partly as a gift and partly as consideration for goods or services furnished by the charity (a ‘‘quid pro quo’’ contribution) is required to inform the contributor in writing of an estimate of the 

value of the goods or services furnished by the charity and that 

only the portion exceeding the value of the goods or services may 

be deductible as a charitable contribution.6

Under present law, total deductible contributions of an individual 

taxpayer to public charities, private operating foundations, and certain types of private nonoperating foundations generally may not 

exceed 50 percent of the taxpayer’s contribution base, which is the 

taxpayer’s adjusted gross income for a taxable year (disregarding 

any net operating loss carryback). To the extent a taxpayer has not 

exceeded the 50-percent limitation, (1) contributions of capital gain 

property to public charities generally may be deducted up to 30 

percent of the taxpayer’s contribution base, (2) contributions of 

cash to most private nonoperating foundations and certain other 

charitable organizations generally may be deducted up to 30 percent of the taxpayer’s contribution base, and (3) contributions of 

capital gain property to private foundations and certain other charitable organizations generally may be deducted up to 20 percent of 

the taxpayer’s contribution base. 

Contributions by individuals in excess of the 50-percent, 30-percent, and 20-percent limits generally may be carried over and deducted over the next five taxable years, subject to the relevant percentage limitations on the deduction in each of those years. 

In general, a charitable deduction is not allowed for income, estate, or gift tax purposes if the donor transfers an interest in property to a charity (e.g., a remainder) while also either retaining an 

interest in that property (e.g., an income interest) or transferring 

an interest in that property to a noncharity for less than full and 

adequate consideration.7 Exceptions to this general rule are provided for, among other interests, remainder interests in charitable 

remainder annuity trusts, charitable remainder unitrusts, and 

pooled income funds, and present interests in the form of a guaranteed annuity or a fixed percentage of the annual value of the property.8 For such interests, a charitable deduction is allowed to the 


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9Minimum distribution rules also apply in the case of distributions after the death of a traditional or Roth IRA owner. 10 Conversion contributions refer to conversions of amounts in a traditional IRA to a Roth IRA. 11Sec. 3405. 

extent of the present value of the interest designated for a charitable organization. 

IRA rules 

Within limits, individuals may make deductible and nondeductible contributions to a traditional IRA. Amounts in a traditional 

IRA are includible in income when withdrawn (except to the extent 

the withdrawal represents a return of nondeductible contributions). 

Certain individuals also may make nondeductible contributions to 

a Roth IRA (deductible contributions cannot be made to Roth 

IRAs). Qualified withdrawals from a Roth IRA are excludable from 

gross income. Withdrawals from a Roth IRA that are not qualified 

withdrawals are includible in gross income to the extent attributable to earnings. Includible amounts withdrawn from a traditional IRA or a Roth IRA before attainment of age 591⁄2 are subject 

to an additional 10-percent early withdrawal tax, unless an exception applies. Under present law, minimum distributions are required to be made from tax-favored retirement arrangements, including IRAs. Minimum required distributions from a traditional 

IRA must generally begin by April 1 of the calendar year following 

the year in which the IRA owner attains age 701⁄2.9

If an individual has made nondeductible contributions to a traditional IRA, a portion of each distribution from an IRA is nontaxable until the total amount of nondeductible contributions has 

been received. In general, the amount of a distribution that is nontaxable is determined by multiplying the amount of the distribution by the ratio of the remaining nondeductible contributions to 

the account balance. In making the calculation, all traditional IRAs 

of an individual are treated as a single IRA, all distributions during any taxable year are treated as a single distribution, and the 

value of the contract, income on the contract, and investment in 

the contract are computed as of the close of the calendar year. 

In the case of a distribution from a Roth IRA that is not a qualified distribution, in determining the portion of the distribution attributable to earnings, contributions and distributions are deemed 

to be distributed in the following order: (1) regular Roth IRA contributions; (2) taxable conversion contributions; 10 (3) nontaxable 

conversion contributions; and (4) earnings. In determining the 

amount of taxable distributions from a Roth IRA, all Roth IRA distributions in the same taxable year are treated as a single distribution, all regular Roth IRA contributions for a year are treated as 

a single contribution, and all conversion contributions during the 

year are treated as a single contribution. 

Distributions from an IRA (other than a Roth IRA) are generally 

subject to withholding unless the individual elects not to have 

withholding apply.11 Elections not to have withholding apply are to 

be made in the time and manner prescribed by the Secretary. 

Qualified charitable distributions 

Otherwise taxable IRA distributions from a traditional or Roth 

IRA are excluded from gross income to the extent they are qualified 


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12Sec. 408(d)(8). The exclusion does not apply to distributions from employer-sponsored retirement plans, including SIMPLE IRAs and simplified employee pensions (‘‘SEPs’’). 

charitable distributions.12 The exclusion may not exceed $100,000 

per taxpayer per taxable year. Special rules apply in determining 

the amount of an IRA distribution that is otherwise taxable. Taxpayers who elect to make qualified conservation contributions may 

not claim a charitable deduction for such amounts. The otherwise 

applicable rules regarding taxation of IRA distributions and the deduction of charitable contributions continue to apply to distributions from an IRA that are not qualified charitable distributions. 

A qualified charitable distribution is taken into account for purposes of the minimum distribution rules applicable to traditional 

IRAs to the same extent the distribution would have been taken 

into account under such rules had the distribution not been directly 

distributed under the qualified charitable distribution provision. An 

IRA does not fail to qualify as an IRA as a result of qualified charitable distributions being made from the IRA. 

A qualified charitable distribution is any distribution from an 

IRA directly by the IRA trustee to an organization described in section 170(b)(1)(A) (generally, public charities) other than a supporting organization (as described in section 509(a)(3)) or a donor 

advised fund (as defined in section 4966(d)(2)). Distributions are eligible for the exclusion only if made on or after the date the IRA 

owner attains age 701⁄2 and only to the extent the distribution 

would be includible in gross income (without regard to this provision). 

The exclusion applies only if a charitable contribution deduction 

for the entire distribution otherwise would be allowable (under 

present law), determined without regard to the generally applicable 

percentage limitations. Thus, for example, if the deductible amount 

is reduced because of a benefit received in exchange, or if a deduction is not allowable because the donor did not obtain sufficient 

substantiation, the exclusion is not available with respect to any 

part of the IRA distribution. 

If the IRA owner has any IRA that includes nondeductible contributions, a special rule applies in determining the portion of a 

distribution that is includible in gross income (but for the qualified 

charitable distribution provision) and thus is eligible for qualified 

charitable distribution treatment. Under the special rule, the distribution is treated as consisting of income first, up to the aggregate amount that would be includible in gross income (but for the 

qualified charitable distribution provision) if the aggregate balance 

of all IRAs having the same owner were distributed during the 

same year. In determining the amount of subsequent IRA distributions includible in income, proper adjustments are to be made to 

reflect the amount treated as a qualified charitable distribution 

under the special rule. 

Distributions that are excluded from gross income by reason of 

the qualified charitable distribution provision are not taken into account in determining the deduction for charitable contributions 

under section 170. 

Under present law, the exclusion does not apply to distributions 

made in taxable years beginning after December 31, 2013. 


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REASONS FOR CHANGE

The Committee believes that facilitating charitable contributions 

from IRAs will increase giving to charitable organizations. Therefore, the Committee believes that the exclusion for qualified charitable distributions should be permanently extended. 

EXPLANATION OF PROVISION

The provision reinstates and makes permanent the exclusion 

from gross income for qualified charitable distributions from an 

IRA. 

EFFECTIVE DATE

The provision is effective for distributions made in taxable years 

beginning after December 31, 2013. 

III. VOTES OF THE COMMITTEE 

In compliance with clause 3(b) of rule XIII of the Rules of the 

House of Representatives, the following statement is made concerning the vote of the Committee on Ways and Means in its consideration of H.R. 4619, the Permanent IRA Charitable Contribution Act of 2014, on May 29, 2014. 

The bill, H.R. 4619, was ordered favorably reported as amended 

by a roll call vote of 23 yeas to 14 nays (with a quorum being 

present). The vote was as follows: 

Representative Yea Nay Present Representative Yea Nay Present 

Mr. Camp .............................. X ............ ............. Mr. Levin .............................. ........... X .............

Mr. Johnson ........................... X ............ ............. Mr. Rangel ........................... ........... X .............

Mr. Brady .............................. X ............ ............. Mr. McDermott ..................... ........... X .............

Mr. Ryan ............................... X ............ ............. Mr. Lewis .............................. ........... ........... .............

Mr. Nunes ............................. X ............ ............. Mr. Neal ............................... ........... X .............

Mr. Tiberi .............................. X ............ ............. Mr. Becerra .......................... ........... X .............

Mr. Reichert .......................... X ............ ............. Mr. Doggett .......................... ........... X .............

Mr. Boustany ......................... X ............ ............. Mr. Thompson ...................... ........... X .............

Mr. Roskam ........................... X ............ ............. Mr. Larson ............................ ........... X .............

Mr. Gerlach ........................... X ............ ............. Mr. Blumenauer ................... ........... X .............

Mr. Price ............................... X ............ ............. Mr. Kind ............................... ........... X .............

Mr. Buchanan ....................... X ............ ............. Mr. Pascrell .......................... ........... ........... .............

Mr. Smith .............................. X ............ ............. Mr. Crowley .......................... ........... X .............

Mr. Schock ............................ X ............ ............. Ms. Schwartz ........................ ........... X .............

Ms. Jenkins ........................... X ............ ............. Mr. Davis .............................. ........... X .............

Mr. Paulsen ........................... X ............ ............. Ms. Sanchez ......................... ........... X .............

Mr. Marchant ........................ X ............ .............

Ms. Black .............................. X ............ .............

Mr. Reed ............................... X ............ .............

Mr. Young ............................. X ............ .............

Mr. Kelly ................................ X ............ .............

Mr. Griffin ............................. X ............ .............

Mr. Renacci ........................... X ............ .............

IV. BUDGET EFFECTS OF THE BILL 

A. COMMITTEE ESTIMATE OF BUDGETARY EFFECTS

In compliance with clause 3(d) of rule XIII of the Rules of the 

House of Representatives, the following statement is made concerning the effects on the budget of the bill, H.R. 4619, as reported. 

The bill, as reported, is estimated to have the following effect on 

Federal budget receipts for fiscal years 2014–2024: 


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FISCAL YEARS 

[Millions of Dollars] 

2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2014–19 2014–24 

¥124 ¥691 ¥659 ¥702 ¥775 ¥813 ¥855 ¥895 ¥933 ¥967 ¥1,001 ¥3,764 ¥8,415 

B. STATEMENT REGARDING NEW BUDGET AUTHORITY AND TAX

EXPENDITURES BUDGET AUTHORITY

In compliance with clause 3(c)(2) of rule XIII of the Rules of the 

House of Representatives, the Committee states that the bill involves no new or increased budget authority. The Committee further states that the revenue-reducing tax provisions involve increased tax expenditures. (See amounts in table in Part IV.A., 

above.) 

C. COST ESTIMATE PREPARED BY THE CONGRESSIONAL BUDGET

OFFICE

In compliance with clause 3(c)(3) of rule XIII of the Rules of the 

House of Representatives, requiring a cost estimate prepared by 

the CBO, the following statement by CBO is provided. 

U.S. CONGRESS, 

CONGRESSIONAL BUDGET OFFICE, 

Washington, DC, June 5, 2014. 

Hon. DAVE CAMP, 

Chairman, Committee on Ways and Means, 

House of Representatives, Washington, DC. 

DEAR MR. CHAIRMAN: The Congressional Budget Office has prepared the enclosed cost estimate for H.R. 4619, the Permanent IRA 

Charitable Contribution Act of 2014. 

If you wish further details on this estimate, we will be pleased 

to provide them. The CBO staff contact is Logan Timmerhoff. 

Sincerely, 

DOUGLAS W. ELMENDORF. 

Enclosure. 

H.R. 4619—Permanent IRA Charitable Contribution Act of 2014 

H.R. 4619 would amend the Internal Revenue Code to reinstate 

and make permanent a rule that had allowed eligible taxpayers to 

exclude from taxable income certain distributions from their individual retirement accounts (IRAs) that were directly donated to 

qualifying charities. Under current law, the rule expired for distributions made after December 31, 2013. The tax treatment under 

H.R. 4619 would apply to taxpayers over the age of 70 years and 

six months, and would be limited to $100,000 per taxpayer for any 

year. Qualified donations would include those to most public charities that would be deductible for taxpayers who itemize their income tax deductions. Taxpayers who excluded amounts from taxable income as a result of the bill would not be allowed to also 

claim an itemized deduction for such amounts. Amounts donated 

from IRAs would count for purposes of required minimum distributions. 


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The staff of the Joint Committee on Taxation (JCT) estimates 

that enacting H.R. 4619 would reduce revenues, thus increasing 

federal budget deficits, by about $8.4 billion over the 2014–2024 period. 

The Statutory Pay-As-You-Go Act of 2010 establishes budget-reporting and enforcement procedures for legislation affecting direct 

spending and revenues. Enacting H.R. 4619 would result in revenue losses in each year beginning in 2014. The estimated increases in the deficit are shown in the following table. 

JCT has determined that the bill contains no intergovernmental 

or private-sector mandates as defined in the Unfunded Mandates 

Reform Act. 

The CBO staff contact for this estimate is Logan Timmerhoff. 

The estimate was approved by David Weiner, Assistant Director for 

Tax Analysis. 

CBO ESTIMATE OF PAY-AS-YOU-GO EFFECTS FOR H.R. 4619, AS ORDERED REPORTED BY THE 

HOUSE COMMITTEE ON WAYS AND MEANS ON MAY 29, 2014 

By fiscal year, in millions of dollars— 

2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2014– 

2019 

2014– 

2024 

NET INCREASE IN THE DEFICIT 

Statutory Pay-As-You-Go Effects .. 124 691 659 702 775 813 855 895 933 967 1,001 3,764 8,415 

Source: Staff of the Joint Committee on Taxation. 

D. MACROECONOMIC IMPACT ANALYSIS

In compliance with clause 3(h)(2) of rule XIII of the Rules of the 

House of Representatives, the following statement is made by the 

Joint Committee on Taxation with respect to the provisions of the 

bill amending the Internal Revenue Code of 1986: the effects of the 

bill on economic activity are so small as to be incalculable within 

the context of a model of the aggregate economy. 

V. OTHER MATTERS TO BE DISCUSSED UNDER THE 

RULES OF THE HOUSE 

A. COMMITTEE OVERSIGHT FINDINGS AND RECOMMENDATIONS

With respect to clause 3(c)(1) of rule XIII of the Rules of the 

House of Representatives (relating to oversight findings), the Committee advises that it was as a result of the Committee’s review of 

the provisions of H.R. 4619 that the Committee concluded that it 

is appropriate to report the bill, as amended, favorably to the 

House of Representatives with the recommendation that the bill do 

pass. 

B. STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES

With respect to clause 3(c)(4) of rule XIII of the Rules of the 

House of Representatives, the Committee advises that the bill contains no measure that authorizes funding, so no statement of general performance goals and objectives for which any measure authorizes funding is required. 


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C. INFORMATION RELATING TO UNFUNDED MANDATES

This information is provided in accordance with section 423 of 

the Unfunded Mandates Reform Act of 1995 (Pub. L. No. 104–4). 

The Committee has determined that the bill does not contain 

Federal mandates on the private sector. The Committee has determined that the bill does not impose a Federal intergovernmental 

mandate on State, local, or tribal governments. 

D. APPLICABILITY OF HOUSE RULE XXI 5(b) 

Rule XXI 5(b) of the Rules of the House of Representatives provides, in part, that ‘‘A bill or joint resolution, amendment, or conference report carrying a Federal income tax rate increase may not 

be considered as passed or agreed to unless so determined by a 

vote of not less than three-fifths of the Members voting, a quorum 

being present.’’ The Committee has carefully reviewed the bill, and 

states that the bill does not involve any Federal income tax rate 

increases within the meaning of the rule. 

E. TAX COMPLEXITY ANALYSIS

Section 4022(b) of the Internal Revenue Service Restructuring 

and Reform Act of 1998 (the ‘‘IRS Reform Act’’) requires the staff 

of the Joint Committee on Taxation (in consultation with the Internal Revenue Service and the Treasury Department) to provide a 

tax complexity analysis. The complexity analysis is required for all 

legislation reported by the Senate Committee on Finance, the 

House Committee on Ways and Means, or any committee of conference if the legislation includes a provision that directly or indirectly amends the Internal Revenue Code and has widespread applicability to individuals or small businesses. 

Pursuant to clause 3(h)(1) of rule XIII of the Rules of the House 

of Representatives, the staff of the Joint Committee on Taxation 

has determined that a complexity analysis is not required under 

section 4022(b) of the IRS Reform Act because the bill contains no 

provisions that amend the Code and that have ‘‘widespread applicability’’ to individuals or small businesses, within the meaning of 

the rule. 

F. CONGRESSIONAL EARMARKS, LIMITED TAX BENEFITS, AND

LIMITED TARIFF BENEFITS

With respect to clause 9 of rule XXI of the Rules of the House 

of Representatives, the Committee has carefully reviewed the provisions of the bill, and states that the provisions of the bill do not 

contain any congressional earmarks, limited tax benefits, or limited 

tariff benefits within the meaning of the rule. 

G. DUPLICATION OF FEDERAL PROGRAMS

In compliance with Sec. 3(j)(2) of H. Res. 5 (113th Congress), the 

Committee states that no provision of the bill establishes or reauthorizes: (1) a program of the Federal Government known to be duplicative of another Federal program, (2) a program included in any 

report from the Government Accountability Office to Congress pursuant to section 21 of Public Law 111–139, or (3) a program related 

to a program identified in the most recent Catalog of Federal DoVerDate Mar 15 2010 06:40 Jul 01, 2014 Jkt 039006 PO 00000 Frm 00010 Fmt 6659 Sfmt 6602 E:\HR\OC\HR496.XXX HR496

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mestic Assistance, published pursuant to the Federal Program Information Act (Public Law 95–220, as amended by Public Law 98– 

169). 

H. DISCLOSURE OF DIRECTED RULE MAKINGS

In compliance with Sec. 3(k) of H. Res. 5 (113th Congress), the 

following statement is made concerning directed rule makings: The 

Committee estimates that the bill requires no directed rule makings within the meaning of such section. 

VI. CHANGES IN EXISTING LAW MADE BY THE BILL, AS 

REPORTED 

In compliance with clause 3(e) of rule XIII of the Rules of the 

House of Representatives, changes in existing law made by the bill, 

as reported, are shown as follows (existing law proposed to be omitted is enclosed in black brackets, new matter is printed in italic, 

existing law in which no change is proposed is shown in roman): 

INTERNAL REVENUE CODE OF 1986 

* * * * * * * 

Subtitle A—Income Taxes 

* * * * * * * 

CHAPTER 1—NORMAL TAXES AND SURTAXES 

* * * * * * * 

Subchapter D—Deferred Compensation, Etc 

* * * * * * * 

PART I—PENSION, PROFIT-SHARING, STOCK BONUS 

PLANS, ETC 

* * * * * * * 

Subpart A—General Rule 

* * * * * * * 

SEC. 408. INDIVIDUAL RETIREMENT ACCOUNTS. 

(a) * * * 

* * * * * * * 

(d) TAX TREATMENT OF DISTRIBUTIONS.— 

(1) * * * 

* * * * * * * 

(8) DISTRIBUTIONS FOR CHARITABLE PURPOSES.— (A) * * * 

* * * * * * * 


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ø(F) TERMINATION.—This paragraph shall not apply to 

distributions made in taxable years beginning after December 31, 2013.¿ 

* * * * * * * 


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VII. DISSENTING VIEWS 

The six bills approved by the Republicans at the markup would 

add $304 billion to the deficit. Combined with the $310 billion that 

the six bills approved by Republicans on the Committee in April 

added to the deficit, Republicans have added $614 billion to the 

deficit in two short months—and there does not appear to be an 

end in sight. Even though some of these bills were introduced individually with some bipartisan support, the opposition to these bills 

was based on the position that these tax provisions should not be 

made permanent by adding to the deficit without any revenue offset. 

To put the combined cost ($614 billion) into context, it is 25 percent more than the entire projected federal deficit this year and 

$86 billion more than total non-defense domestic discretionary 

spending (e.g., medical research, education, veterans’ pensions and 

health care, transportation, etc.) will be in 2014. It is almost seven 

times what we spend annually on education, job training, and social services. It is ten times more than we spend on veterans. And, 

it is eleven times more than we spend on medical research and 

public health. 

Public charities and private foundations serve an important role 

in our society. We all support the good works of the charitable community and strive to provide charities with the resources they need 

to carry out their charitable mission. The markup was not to debate the good works of charities across this country, or the merits 

of H.R. 4619 which makes permanent the IRA charitable rollover 

provision. 

We found it hypocritical that the Republicans would make permanent a provision that was specifically permitted to expire in 

Chairman Camp’s Tax Reform Act of 2014 discussion draft. 

We also found it hypocritical that, four months ago, Republicans 

let emergency unemployment insurance expire for more than 1.3 

million Americans by arguing that an adequate offset had yet to be 

proposed. In early April, the Senate came to a bipartisan agreement on an offset after months of painstaking negotiations. Yet 

House Republicans still refuse to act. 

Finally, we also opposed the manner in which Republicans were 

proceeding—selecting 10 to make permanent without any offset 

from the approximately 60 tax provisions that expired last year. 

This approach was both fiscally irresponsible and fundamentally 

hypocritical. 

The consideration of this bill should have been part of the consideration of all the expired tax provisions commonly referred to as 

‘‘tax extenders.’’ The Republicans did not take up other tax extenders that also are important to Democratic Committee Members. 

Left to an uncertain fate are provisions like the Work Opportunity 

Tax Credit, the New Markets Tax Credit, and the renewable enVerDate Mar 15 2010 06:40 Jul 01, 2014 Jkt 039006 PO 00000 Frm 00013 Fmt 6604 Sfmt 6604 E:\HR\OC\HR496.XXX HR496

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14 

ergy tax credits, as well as the long-term status of the Earned Income Tax Credit, the Child Tax Credit, and the American Opportunity Tax Credit. 

Sincerely, 

SANDER M. LEVIN, Ranking Member. 

Æ 


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