On Tuesday, December 16, Congress reinstated the Charitable IRA Rollover provision retroactively for 2014 and extended it only through December 31, 2014. Originally enacted in 2006, the Charitable IRA Rollover allows individuals age 70½ and older to make direct transfers up to $100,000 per year from individual retirement accounts to qualified charities without having to count the transfers as income for federal tax purposes. Since no tax is incurred on the withdrawal, gifts do not qualify for a charitable deduction, but may be counted toward an individual’s minimum required distribution.
Recap of other provisions of the Charitable IRA Rollover:
- Distributions must be made directly to a qualified charity by the plan administrator of an IRA. Retirement assets in 401(k), 403(b), SEP, or SIMPLE plans do not qualify, but may be rolled into a new or existing IRA and
transferred to the charity.
- Distributions may only be made to 501(c)(3) tax exempt organizations and cannot be made to donor advised funds, private foundations or supporting organizations.
- Distributions may not be used to fund life-income gifts such as charitable gift annuities, charitable remainder trusts or pooled income funds.
Click Here for a form to expedite your Charitable IRA Rollover contribution to Celiac Disease Foundation. Please call Celiac Disease Foundation at 818.716.1513, x101 or email to firstname.lastname@example.org for more information.