Wagner has benefited from generous gifts from members of the Wagner community who have taken advantage of incentives for tax-free charitable giving that the IRA Rollover provides.
The basic rules for a Qualified Charitable Distribution are:
- The donor must be age 70 ½ on or before the date of the rollover.
- The charity must be a public charity but not a donor-advised fund or supporting organization.
- The distribution must be a direct IRA-to-charity transfer.
- The entire distribution must qualify as a deductible contribution were it not for this provision.
- Rollovers from SEPs and SIMPLEs do not qualify.
- The exclusion from gross income only applies to distribution amounts that would be included in gross income were it not for this provision.
Remember: Funds must be transferred by your IRA plan administrator directly from your IRA to Wagner or another charity.
Please call David J. Martin, Esq. at (718) 420-4341 if you have questions or before making a transfer from your IRA plan, and check with your accountant or tax adviser before making any decision.