1. Short title This Act may be cited as the Legacy IRA Act . 2. Tax-free distributions from individual retirement accounts for charitable purposes (a) In general Paragraph (8) of section 408(d) of the Internal Revenue Code of 1986 (relating to tax treatment of distributions) is amended to read as follows: (8) Distributions for charitable purposes (A) In general No amount shall be includible in gross income by reason of a qualified charitable distribution. (B) Limitations (i) In general The aggregate amount excluded from gross income by subparagraph (A) for a taxable year shall not exceed $400,000. (ii) Organization and entity specific limitations The amount excluded from gross income by subparagraph (A) for a taxable year shall not exceed— (I) $100,000, in the case of any distribution described in subparagraph (C)(i)(I), and (II) $400,000, in the case of any distribution described in subparagraph (C)(i)(II). (C) Qualified charitable distribution For purposes of this paragraph, the term qualified charitable distribution means any distribution from an individual retirement account— (i) which is made directly by the trustee— (I) to a specified charitable organization, or (II) to a split-interest entity, and (ii) which is made on or after the date that the individual for whose benefit the account is maintained has attained— (I) in the case of any distribution described in clause (i)(I), age 70 ½ , and (II) in the case of any distribution described in clause (i)(II), age 65. (D) Special rules relating to distributions For purposes of this paragraph— (i) Distribution must be otherwise includible A distribution from an individual retirement account shall be treated as a qualified charitable distribution only to the extent that the distribution would be includible in gross income without regard to subparagraph (A). (ii) Limitation on income interests A distribution from an individual retirement account to a split-interest entity may only be treated as a qualified charitable distribution if— (I) no person holds an income