s.1244 as amended

Religious Liberty and Charitable Donation Protection Act of 1998 - Amends Federal bankruptcy law with respect to avoidance by the trustee in bankruptcy of fraudulent transfers and obligations to cite circumstances under which a transfer of a charitable contribution to a qualified religious or charitable unit shall not be considered fraudulent. Prohibits the trustee from avoiding such charitable contributions when acting as lien creditor and successor to certain creditors and purchasers.

States that a claim by any person to recover a transferred charitable contribution shall be preempted by the commencement of the case in bankruptcy.

Redefines "disposable income," for purposes of bankruptcy plan confirmation, to include charitable contributions which do not exceed 15 percent of the debtor's gross income for the year in which the contributions are made.

Prohibits the bankruptcy court, when it determines whether to dismiss a case, from taking into consideration whether a debtor makes charitable contributions to any qualified religious or charitable entity.