Though there is still some uncertainty in the economy, Iowans continue to be generous and look for ways to maximize year-end giving. Recent legislation that affects year-end giving includes:

1. Endow Iowa tax credits: Endow Iowa allows donors to give more with their year-end dollars. This program allows taxpayers to receive a 25 percent Iowa tax credit in addition to normal federal charitable income tax deductions. These tax credits are available to donors who establish or contribute to a permanent charitable fund at a qualified community foundation. Credits for gifts in 2012 still remain, and we encourage you to act quickly to ensure you receive credits this year.

Since 2004, Community Foundation donors have received more than $7.5 million in Endow Iowa tax credits. This represents more than $35 million in permanently endowed gifts for schools, museums, hospitals, libraries and other charitable organizations in Iowa.

Endow Iowa tax credits leverage endowed gifts, which strengthen communities and help us prepare for future needs and enhancements by creating an ongoing stream of revenue for our state’s charities.

The credits also have provided an incentive for Iowans to make gifts to their communities while they are living. In Polk County alone, the Iowa Transfer of Wealth Study forecasts that from 2000 to 2050, more than $69 billion in wealth will be transferred through probate estates alone. We know, due to the migration of Iowa’s youths, much of that wealth will leave the state. Endow Iowa incents people who care about their community to make gifts now that will support it forever.

2. IRA rollover: This incentive allows taxpayers age 70 1/2 and older to roll over up to $100,000 from an individual retirement account (IRA) directly to a qualifying charity without recognizing the assets transferred to the qualifying charity as income. These gifts can qualify for Endow Iowa tax credits when given through the Community Foundation.

The IRA rollover is a great tool for donors who do not itemize their tax deductions and for donors who would like to establish a designated fund to benefit their favorite Iowa charities or give to a nonprofit’s existing Endow Iowa qualified fund. This provision was extended through Dec. 31.

3. Charitable deduction cap: In September, the administration recommended that the charitable deduction and other itemized deductions be reduced from the current 35 percent to 28 percent to help trim the budget. Because the congressional “supercommittee” charged with cutting the federal budget deficit could not reach an agreement, the charitable deduction will not be capped at this time. We anticipate that the debate over itemized deductions will continue next year as Congress tackles comprehensive tax reform, but for now the cap remains intact.

Sheila Kinman is the director of advancement at the Community Foundation of Greater Des Moines.