Suspending Required Minimum Distributions

Floor Speech

BREAK IN TRANSCRIPT

Mr. DAVIDSON. Mr. Speaker, I proposed H.R. 8331 to amend the Internal Revenue Code of 1986 to temporarily suspend required minimum distribution rules for certain retirement plans and accounts.

I would like to briefly discuss these. These distributions are generally minimum amounts that retirement plan account owners must withdraw annually or else they pay a penalty. The amount to be distributed is calculated based on the account balance as of December 31 of the previous year.

Since the market was nearly at an all-time high at the end of 2021, and it has dropped more than 20 percent, the distributions from 2022 are disproportionately high. While this administration pushes more terrible inflationary policies that hurt our market, it is our retirees who are suffering the consequences most from this downturn.

I have introduced this bill to waive the required minimum distributions for 2022, much like this body did in 2020 in the CARES Act when the government shut down our economy.

My office has received countless phone calls, not just from my constituents, but from American retirees all over the country who are demanding that Congress address this issue. I hope we can get something done by the end of the year.

BREAK IN TRANSCRIPT

Source