President Obama signed into law last month the Protecting Americans From Tax Hikes
(“PATH”) Act of 2015. This new legislation made permanent, or further extended, numerous
favorable tax law provisions for individuals and businesses that had expired or were about to
Several of the effected provisions impact the areas of estate, financial, retirement and
1. Individuals 70½ years of age or older may continue to exclude up to $100,000 from gross
income of charitable distributions from Individual Retirement Accounts (“IRAs”). Charitable
distributions from IRA’s in excess of $100,000 are allowed, but the excess amount must be
included in income but may be taken as an itemized charitable deduction, subject to
standard adjusted gross income limits for charitable contributions
2. For tax years after December 31, 2014, the definition of qualified expenses for post-
secondary education distributions from a 529 Plan has been expanded to include the cost of
computer hardware and related technology.
While these provisions may not have a direct effect on you or your planning, this PATH
legislation illustrates that tax laws change constantly in ways that could affect your planning.
While you may have no intention of leaving any part of your IRA to charity, have you reviewed
your retirement plan beneficiary designations and are they up to date? If you have a 529 Plan,
is the plan investment portfolio being managed and reviewed frequently? Is your estate plan
in place? Is it up to date? If not, we can help.
For information on estate planning, please contact us at 215-572- 8111.
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