qualified charitable distribution
if a qualified distribution to a charity is larger than the rmd for that year for that ira is the difference between
the rmd and the full amount sent be used to offset rmds on another ira
if a qualified distribution to a charity is larger than the rmd for that year for that ira is the difference between
the rmd and the full amount sent be used to offset rmds on another ira
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Permalink Submitted by Alan - IRA critic on Wed, 2017-06-07 20:18
Yes. Under the RMD aggregation rules, all IRA distributions from any account are credited against the total RMD for all IRA accounts owned by that taxpayer. This is another reason for doing the QCD with the first IRA distribution during an RMD year.
Permalink Submitted by Howchen Lau on Thu, 2017-06-08 21:16
follow up on a qcd the client does not report rmd as income is there does that make a differenceas the other rmd from the other ira is taxable income sounds like a double dip
Permalink Submitted by Mike Tomich on Thu, 2017-06-08 21:41
Somewhere, I heard, in making a QCD, you do not declare the RMD, as income, you get to deduct the RMD, as a charitable contribution. If this is true it is a gold mind, for charities and individuals. I thank you, in advance, to whomever, can answer this question.
Permalink Submitted by Alan - IRA critic on Thu, 2017-06-08 22:57
If you make a QCD you cannot also deduct the charitable contribution as an itemized deduction. For a QCD, you report the entire IRA distribution, but to the extent of the QCD amount you treat it similar to a rollover and do not include the QCD portion on line 15b (the taxable amount) on Form 1040. For example, if your RMD is 10,000 and you distribute 6,000 to yourself and have a QCD check of 4000 sent to a charity, you report 10,000 on line 15a, 6,000 on 15b and enter “QCD” on the line next to 15b.
Permalink Submitted by Mike Tomich on Fri, 2017-06-09 15:55
Thank you!