Individual Retirement Accounts (IRAs): Legislative Issues in the 106th Congress

Publication Date: January 2001

Publisher: Library of Congress. Congressional Research Service

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Research Area: Banking and finance

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Abstract:

Bills introduced in the 106th Congress would have raised the limit on contributions to individual retirement accounts (IRAs) and eased other federal IRA rules. The House passed H.R. 5203, incorporating the higher IRA contribution limits of H.R.1102, on September 19, 2000. The IRA provisions of the bill would have cost $21.7 billion in foregone revenue over 10 years. The Senate Finance Committee ordered H.R. 1102 reported (with amendments) on September 7, 2000, but the bill did not reach the Senate floor before the 106th Congress adjourned in December 2000. The Finance Committee's bill, in addition to raising contribution limits, would have allowed tax credits in lieu of deductions for a portion of IRA contributions.