IRA Charitable Rollover
Contributing through your IRA Charitable Rollover Now Permanent
Congress reinstated a law that allows you to make a tax-free gift from your individual retirement account (IRA). Known as the IRA charitable rollover, this law no longer has an expiration date so you are free to make annual gifts to us from your IRA this year and well into the future.
The recently reinstated law allows individuals 70½ and older the ability to transfer up to $100,000 from their individual retirement accounts to a qualified charitable organization without being subject to income taxes on the distribution. IRA Charitable Rollover FAQs
How it works
- If you are 70½ or older, you can give up to $100,000 directly from your IRA to qualified charities such as ArtsWestchester. The legislation does not permit direct transfers to charitable trusts, donor advised funds, charitable gift annuities or supporting organizations.
- If you have not taken your Required Minimum Distribution for the year, your IRA charitable rollover gift can satisfy all or part of that requirement.
- The transfer generates neither taxable income nor a tax deduction, so you still benefit even if you do not itemize your tax deductions.
It is wise to consult with your tax professionals if you are contemplating a charitable gift under the extended law. This information is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor.