IRA Charitable Rollover

Tax Implications of the Next President

PG Calc speculates and offers commentary about impending changes to Federal tax policy and the possible impacts on charitable giving. However, written on the eve of America’s transition to the Biden/Harris administration and the beginning of the 117th Congress, there’s a good chance that parts of it will pass into the category of "things we know for sure that just ain't so."

Taking a Closer Look at QCDs

Qualified charitable distributions (QCDs), also known as charitable IRA rollovers, are particularly appealing to donors because they provide a tax benefit whether or not the donor itemizes deductions. While on the surface they seem simple – request a payment go directly from the plan administrator to a qualifying charity – there are nuances to these types of gifts of which charities should be aware. Let’s take a closer look at some of those subtleties as they relate to QCD requirements.

Beware the IRA Checkbook Trap!

The charitable IRA rollover is one of the great innovations in charitable giving of the last few years. Referred to by many as a qualified charitable distribution, or QCD, the charitable IRA rollover first came into being as part of the Pension Protection Act of 2006, but only through 2007. After a series of extensions, the charitable IRA rollover was made permanent in 2015 with the signing of the Protecting Americans from Tax Hikes Act (Path Act).

Are You Ready for the End?

The end we are talking about is the end of calendar year 2016.  Are you ready?  Most charities concentrate on year-end giving in the fourth quarter and for good reason.  A study conducted by the Center on Philanthropy at Indiana University focused on high-net worth donors found that 42.7 percent of those surveyed gave more during the holidays than the rest of the year. Nonetheless, in addition to soliciting and encouraging gifts at the end of the calendar year, it is also a time for planned giving departments to prepare and plan.