Proposals to significantly change the rules surrounding donor advised funds (“DAFs”) and private foundations have been introduced in the House of Representatives. The Accelerating Charitable Efforts Act (the “Act”), which was previously introduced in the Senate on June 9, 2021, was introduced in the House on February 3, 2022 by Representatives Chellie Pingree (D-ME), Tom Reed (R-NY), Ro Khanna (D-CA), and Katie Porter (D-CA). The House Bill proposes the same legislative changes as the Senate bill introduced last year. Like its Senate counterpart, the House bill would impose certain excise taxes and offer tax benefits to accelerate the flow of funds from DAF sponsoring organizations, donors, and private foundations to public charities.
To read our summary of the key provisions of the ACE Act, see our blog post on the Senate bill that was introduced in June 2021.