Permalink Submitted by Alan - IRA critic on Wed, 2023-11-08 18:18
It is applied to the RMD when the check is distributed by the IRA custodian. However, if the check is not received by the charity by year end or a written acknowledgement is not provided it technically is not a QCD and would become a taxable part of the RMD. QCDs should all be completed by mid December at the latest, and even better prior to Thanksgiving.
If you have checking on your IRA and issue your own QCD checks, the 1099R will not be generated unless the charity cashes the check and it is returned to the bank prior to year end. Therefore, these should be done and completed even earlier than if the custodian writes the check.
Permalink Submitted by Alan - IRA critic on Wed, 2023-11-08 18:18