H.R. 8783

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8783 Introduced in House (IH)]

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119th CONGRESS
2d Session
H. R. 8783

To amend the Internal Revenue Code of 1986 to exclude from gross income 
charitable distributions from certain employer-sponsored retirement 
plans, and for other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

May 13, 2026

Mr. Beyer (for himself and Mr. Kelly of Pennsylvania) introduced the 
following bill; which was referred to the Committee on Ways and Means

_______________________________________________________________________

A BILL

To amend the Internal Revenue Code of 1986 to exclude from gross income 
charitable distributions from certain employer-sponsored retirement 
plans, and for other purposes.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. EXCLUSION FROM GROSS INCOME OF CHARITABLE DISTRIBUTIONS FROM 
CERTAIN EMPLOYER-SPONSORED RETIREMENT PLANS.

(a) In General.--Section 402 of the Internal Revenue Code of 1986 
is amended by adding at the end the following new subsection:
``(m) Distributions for Charitable Purposes.--
``(1) In general.--Gross income for any taxable year shall 
not include so much of the aggregate amount of qualified 
charitable distributions made with respect to a taxpayer during 
such taxable year which does not exceed the applicable amount.
``(2) Qualified charitable distribution.--For purposes of 
this subsection, the term `qualified charitable distribution' 
means any distribution from a qualified employer plan--
``(A) which is made directly by the plan to an 
organization described in section 170(b)(1)(A) (other 
than any organization described in section 509(a)(3) or 
any fund or account described in section 4966(d)(2)), 
and
``(B) which is made on or after the date that the 
individual on whose behalf the distribution is made has 
attained age 70\1/2\.
A distribution shall be treated as a qualified charitable 
distribution only to the extent that the distribution would be 
includible in gross income without regard to paragraph (1).
``(3) Special rules.--
``(A) In general.--Rules similar to the rules of 
subparagraphs (C), (E), and (F) of section 408(d)(8) 
shall apply for purposes of this subsection.
``(B) Application of section 72.--Rules similar to 
the rules of section 408(d)(8)(D) shall apply for 
purposes of this subsection, by taking into account all 
amounts to which the taxpayer has a nonforfeitable 
right in all qualified employer plans maintained by the 
employer in lieu of all amounts in all individual 
retirement plans of the individual.
``(4) Definitions.--For purposes of this subsection--
``(A) Applicable amount.--The term `applicable 
amount' means the excess of--
``(i) the dollar amount in effect under 
section 408(d)(8) for the taxable year, over
``(ii) the total amount of distributions 
not includible in the gross income of the 
taxpayer for the taxable year by reason of 
section 408(d)(8).
``(B) Qualified employer plan.--The term `qualified 
employer plan' means--
``(i) an eligible retirement plan described 
in clause (iii) or (vi) of subsection 
(c)(8)(B), or
``(ii) a plan established for its employees 
by the United States, by a State or political 
subdivision thereof, or by an agency or 
instrumentality of any of the foregoing.''.
(b) SEPs and SIMPLEs.--Section 408(d)(8)(B) of such Code is amended 
by striking ``(other than a plan described in subsection (k) or (p))''.
(c) 403(b) Plans.--Section 403 of such Code is amended by adding at 
the end the following new subsection:
``(d) Distributions for Charitable Purposes.--The rules of section 
402(m) shall apply to distributions under an annuity contract described 
in subsection (b).''.
(d) 457(b) Plans.--Section 457(e) of such Code is amended by adding 
at the end the following new paragraph:
``(19) Distributions for charitable purposes.--The rules of 
section 402(m) shall apply to distributions under an eligible 
deferred compensation plan established and maintained by an 
eligible employer described in subsection (e)(1)(A).''.
(e) Effective Date.--The amendments made by this section shall 
apply to distributions made in taxable years beginning after the date 
of the enactment of this Act.
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