Make a Gift Tax-Free With Your IRA
If you are 70½ years old or older, you can take advantage of a simple way to benefit the National Council of the U.S., Society of St. Vincent de Paul and receive tax benefits in return. You can give any amount up to $100,000 per year from your IRA directly to a qualified charity without paying income tax. This popular gift option is commonly called the IRA charitable rollover, or a Qualified Charitable Distribution (QCD).
Why Consider This Gift?
Your gift will be put to use today, allowing you to see the difference your donation is making, and you will pay no income taxes on the gift, up to $100,000. The transfer generates neither taxable income nor a tax deduction, so you benefit even if you do not itemize your deductions.
If you reached the age of 70½ on or before December 31, 2019, you can use your gift to satisfy all or part of your required minimum distribution for the year. If you turn 70½ on or after January 1, 2020, you can use your gift to satisfy all or part of your required minimum distribution starting at the age of 72. (Note: The RMD requirement has been waived for 2020, per the CARES Act signed into law on March 27, 2020.)
Since the gift does not count as income, it can reduce your annual income level. This, in turn, may help lower your Medicare premiums and decrease the amount of Social Security subject to tax.