2013 may be your last chance for a “charitable IRA rollover”

Posted on November 5th, by mad121704 in 2013 tax planning.

If you’re age 70½ or older, you can make a direct contribution — up to $100,000 — from your IRA to a qualified charitable organization in 2013 without owing any income tax on the distribution. This “charitable IRA rollover” can be used to satisfy required minimum distributions.

The American Taxpayer Relief Act of 2012 (ATRA) revived this opportunity, but only for 2012 and 2013. So if you’d like to make a charitable IRA rollover, consider doing so this year in case the opportunity isn’t extended. If you already took advantage of the ATRA provision that allowed a charitable rollover made in January 2013 to be treated for tax purposes as if it had been made Dec. 31, 2012, you can make another $100,000 rollover this year for 2013 tax purposes.

Have questions about charitable IRA rollovers or other giving strategies? Please contact us. We can help you create a giving plan that will meet your charitable goals and maximize your tax savings.




HOBERMAN & LESSER, LLP