Is the 2022 QCD Deadline By Required Beginning Date or 12-31-22?

Submitted by Trey Isgrig on Tue, 2023-01-17 15:15

For someone who turned age 72 in 2022, do they still have until April 1, 2023 to make a QCD to satisfy their 2022 RMD or was 12-31-22 the deadline for the QCD to satisfy the 2022 RMD and must now take a taxable distribution instead? Thanks!



Submitted by Alan - IRA critic on Tue, 2023-01-17 15:37

  • The latter. If the QCD was not done in 2022 with the charity in receipt by year end, it will have to be done in 2023. The 2022 RMD deadline is 4/1/2023, but the person will also have to complete the 2023 RMD in 2023, resulting in two taxable RMDs in 2023. Under these circumstances, the person may want to double up the QCDs. It would not be necessary to complete a separate QCD before the 2022 RMD is complete as long as the total QCDs are completed before the 2023 RMD is complete. This assumes that the total QCDs are less than the 2023 RMD. 
  • If the 2022 RMD was completed in 2022 it is too late to use a QCD to reduce 2022 taxes. But the person could still double up the QCDs for 2023 to reduce the taxable income for 2023. As always, the 2023 QCDs must be completed with or before the 2023 RMD is completed to reduce the taxable income.

Submitted by Trey Isgrig on Tue, 2023-01-17 17:03

Hi Alan – Thank you and just to make sure my question is clear and I am interpreting your answer correctly, may I give you a scenario to reconfirm?The individual turned 72 in 2022 and the 2022 RMD is $5,000 and 2023 RMD is $6,000. The individual did not process the 2022 RMD or a QCD by 12-31-22. However, the individual will make a QCD of $5,000 by 4-1-23 to satisfy the 2022 RMD (if allowable) and then process another QCD of $6,000 for the 2023 RMD before 12-31-23. Would this satisfy the 2022 RMD or must the individual take a taxable distribution of $5,000 to satisfy the 2022 RMD by 4-1-23 since the QCD was not processed by 12-31-22? Thanks again.

Submitted by Alan - IRA critic on Tue, 2023-01-17 17:56

That would satisfy the 2022 RMD and the QCD would make it non taxable.  Same for the 2023 RMD. SInce QCDs are equal to the entire 11,000 of 2023 distributions, the taxable income would be 0. The 2022 1040 would report 0 distributions and the 2023 1040 would report 11,000 on line 4a, 0 on 4b, and “QCD” entered next to 4b./

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