Sensenbrenner Calls on President Bush to Provide Relief for Older Americans
Dec 19, 2008 -
Congressman Jim Sensenbrenner (R-Menomonee Falls) joined Members of Congress, urging President Bush to suspend required minimum distribution rules for IRAs, 401(k)s, and 403(b)s for the 2008 tax year. In a letter sent today, Congressman Sensenbrenner and his colleagues urged the President to allow individuals to put money back into accounts from which the law required them to make withdrawals this year.
“The current economic downturn has caused many of my constituents to worry about their financial situation,” said Sensenbrenner. “Americans have seen significant decreases in the value of their investments, particularly their Individual Retirement Accounts (IRAs) and 401(k)s. Federal tax law should not force seniors to take money from these accounts at a time when the value of their investments has plummeted.”
Last month, Sensenbrenner cosponsored H.R. 7277, the Temporary IRA Distribution Suspension Act, which would suspend mandatory withdrawal requirements for both 2008 and 2009. The legislation received broad support in Congress and from groups such as the American Association of Retired Persons (AARP). However, the final bill that passed before Congress officially adjourned, only suspended mandatory withdrawal requirements in 2009.
“The legislation Congress passed is a strong step forward in our effort to ease the burden on older Americans struggling through our nation’s financial crisis,” said Sensenbrenner. “However, I urge President Bush to include the 2008 tax year which will provide more immediate relief to our nation’s retirees.”
Please click on the link to view a copy of the letter to President Bush.