Inherited IRA distributions to charity
I have a client that wants to take their RMD from their Inherited IRA and have it go directly to a 501c3 charity?
I know you can do this from Traditional IRA if you are over 70 1/2, but I’m not sure if you can from an Inherited IRA?
The client is 61.
Thanks
Permalink Submitted by David Mertz on Tue, 2019-08-20 14:27
To make a Qualified Charitable Distribution from an IRA, the individual for whom the account is maintained must be age 70½ or older at the time of the distribution. In this case your client as beneficiary is the one for whom the account is maintained and, being well under age 70½, cannot yet make a QCD from the IRA. The client can have a distribution from the inherited IRA paid directly to the charity, but it will not be a QCD. Instead the distribution will be includible in income and the contribution to charity will be reportable on Schedule A as a charitable contribution. About 10 years from now, after your client has reached age 70½, QCDs from the inherited IRA will be permitted.