Qualified Charitable Distribution
Gifting from your IRA is wonderful way to keep our ministries serving people! Here is a quick recap of the IRA charitable rollover rules.
Gifts qualify for special treatment as an IRA charitable rollover or Qualified Charitable Distribution (QCD) if…
- You are age 70½ or older on the day of the gift.
- No more than $100,000 is transferred directly from the IRA to one or more qualified charities anytime during the calendar year.
- The gift is made from a traditional IRA. It cannot come from other types of retirement plans such as 401(k)s, 403(b)s, SEP-IRAs, or SIMPLE IRAs.
- The gift is completed by December 31. It is best to contact your IRA custodian no later than the middle of December.
Special Benefits!
The gift does not create a charitable deduction. However, a QCD is not recorded as income on your tax forms. For many donors, this tax treatment is more useful than the charitable deduction. Talk this over with your tax professional!
Moreover, these gifts can be used to satisfy some or all the required minimum distributions (RMDs) you need to redeem in a given tax year.
For more information, contact us. You can also contact your IRA custodian. He/she is doing a lot of these.
For your convenience, you can print and complete the documents (some IRA custodians will want you to use their forms) in this link and mail them to your IRA administrator and TLHA. Download 2022 documents.
The contents of this page should not be considered legal or financial advice. Please consult with your own tax adviser before making charitable decisions affecting your taxes.