Taxpayers who are 70 ½ and older can make an IRA transfer of up to $100,000 directly to Homeward Bound and claim it as a tax-free IRA Charitable Rollover gift.
You can make a Charitable Rollover gift to Homeward Bound of WNC by following these guidelines:
- You must be 70 ½ or older when you make the gift and it must be from a traditional or Roth IRA. Retirement plans such as 401(K), 403(b), SIMPLE or SEP accounts do not quality.
- You may contribute up to $100,000 per individual, per year. Thus a spouses or partners can each give $100,000 from separate IRA accounts.
- Distributions must be made directly to Homeward Bound of WNC and completed by Dec. 31.
The IRA charitable distribution is not included in your taxable income so there is not charitable deduction available.
- Transfers also count toward your required minimum distribution.
- The IRA charitable distribution may be used to fulfill a pledge.
The IRA Charitable Rollover provision is a win-win for both you and Homeward Bound. It’s a way to take advantage of an incentive in the tax code and make a difference in the lives of many people in our community experiencing homelessness.
For more information about a gift of an IRA charitable distribution or a gift of stocks, contact Strategic Gifts Officer Jim Lowder at email@example.com or call 828-337-4623.