Charitable Giving Corner

The American Taxpayer Relief Act of 2012 extended the qualified charitable distribution (QCD) provisions for 2012 and 2013 but only through this year.

This window of opportunity could be a perfect time to consider leveraging one of your largest and potentially most highly taxed assets to benefit your favorite charity and the work they do.

An IRA owner, over age 70 1/2 can exclude from gross income up to $100,000 of a QCD made for a year and a QCD can be used to satisfy any IRA required minimum distributions (RMDs) for the year. Also, the amount of a QCD excluded from gross income is not taken into account in determining any deduction for charitable contributions.

As always, consult the IRS and your tax person for advice on how you can make charitable giving work for you!