2015 IRA Charitable Contribution
I have a client who is over 70 that wish to donate to a charitable foundation in lieu of taking his RMD for himself.
To my knowledge this law is still done on year by year basis and we don’t know about 2015 yet, is that correct?
If my client were to go ahead and make the donation to charity and the law gets extended again can he qualify to avoid paying taxes on it? Or do you have to do it during the short 2 week period in December?
Thanks for any help!
-Nick
Permalink Submitted by Jose Morales on Wed, 2015-05-20 15:48
Hello Nick, the QCD option is currently expired and like prior years must be renewed for the current year or (hopefully) made permanent. It’s almost certain that as in prior years, distributions completed that follow all of the QCD rules that are completed before the option is renewed will be given QCD treatment. There is no way to make a guarantee though.
Permalink Submitted by tomd37 on Wed, 2015-05-20 18:44
Also Nick, the age limit is 70.5 for QCD’s. You did not say how much over 70 the client is. Last year I made my QCD in mid-October hoping it would be approved by the end of the year. As I remember it was mid-December before Congressional action was taken and the bill signed. Tom D.