December 22, 2015  |  News

A Historic Victory for Philanthropy

THE CHARITABLE IRA ROLLOVER IS BACK – AND PERMANENT THIS TIME!

If you are over 70 ½ years of age, you can once again give tax-free from your IRA. And now, thanks to the Protecting Americans from Tax Hikes Act of 2015 that the President just signed in to law, this provision is now permanent.

Since you are required to make minimum withdrawals after age 70 ½, you can now opt to transfer those withdrawals to a charitable organization in Boone County or any 501c3 of your choice, including the Community Foundation.  And given that gifts to CFBC’s Community Impact Fund are doubled by Lilly Endowment, it’s a great time to think about giving tax free from your IRA and doubling your impact.  This is a great way to support an organization you care about while saving on income taxes.

A few notes:

  • 401K’s or 403B’s are not eligible, this is only for IRAs.
  • Donors must be 70 ½ or older to be eligible.
  • Each individual can make IRA rollover gifts up to $100,000 per year (can be divided among multiple organizations). Married couples can each give up to $100,000 each given they each have IRA accounts.
  • IRA rollover gifts cannot fund charitable gift annuities or remainder trusts and cannot be transferred to Donor Advised Funds.

Still have questions?  Call Jennifer Pendleton, CFBC President & CEO at 765-482-0024 or email at jen@communityfoundationbc.org.