ALEXANDRIA – As 2016 comes to a close, remember IRA accounts can be used to support local churches and ministries.
At the end of 2015, Congress made the IRA Charitable Rollover a permanent part of the tax code so individuals who are 70 ½ years of age and above can make distributions from either traditional or Roth IRA’s directly to the donor’s selected charitable organization(s) without being included as taxable income to the donor.
The rollover provision particularly benefits those who do not itemize on their federal income tax return and those who do not need the income from the minimum required distribution (MRD).
The basic facts regarding the IRA Charitable Rollover:
— Donor must be at least 70 1/2 years of age.
— Donations of up to $100,000 from an IRA made directly to charitable organizations are not included in taxable income.
— Donations count toward donor’s Minimum Required Distribution.
For more information refer to www.LBFinfo.org or contact your CPA or tax advisor.
