Now that the IRA Charitable Rollover is permanent, many Cincinnati Public Radio listeners are using this option as a way to support their favorite radio station. IRA distributions transferred directly to qualified charities like Cincinnati Public Radio are not treated as taxable distributions.
Requirements and restrictions for making an IRA charitable rollover gift:
- The gift is made directly from the IRA to Cincinnati Public Radio.
- Gifts to all charities combined may total up to $100,000 per taxpayer for the year.
- The gifts are outright contributions and no material benefits are received in return for the gifts.
- Transfers for a gift annuity, charitable remainder trust or pooled income fund are not permitted.
- Gifts cannot be directed to a donor-advised fund, supporting organization or private foundation.
- Gifts are not included in taxable income and no charitable deduction is realized.
- Gifts can only be made from an IRA. 401(k), 403(b) and 457 plans are not covered by this law.
This may be the right gift for you to make if:
- You are 70 1/2 or older.
- You want to make a charitable gift and your IRA constitutes a large share of available assets.
- You are required to take a minimum distribution from your IRA, but you do not need additional income.
- You do not itemize your deductions. An IRA charitable rollover gift will not be included in your taxable income even if you do not itemize other deductions.
- You live in a state where retirement-plan distributions are taxable on your state income-tax return, but your state does not allow itemized charitable deductions.
- You would like to make an additional charitable gift, but it would not be deductible because of the annual limitation of 50 percent of adjusted gross income for charitable contributions.
- The IRA charitable rollover is equivalent to a deduction because it is not included in taxable income.
- You have an outstanding pledge. The IRA charitable rollover can satisfy a pledge without violating rules against self-dealing.
Steps to take to make a gift:
If you want to make a qualifying transfer, contact your IRA administrator and instruct that person to transfer funds directly to Cincinnati Public Radio.
Information you may need:
Legal Name: Cincinnati Public Radio, Inc. (dba WGUC; WVXU; WMUB)
Tax I.D. Number: # 31-1410636
Incorporated In: Cincinnati, Ohio
Mailing Address: 1223 Central Parkway, Cincinnati, Ohio 45214
Please contact Conrad Thiede, 513.419.7116 or firstname.lastname@example.org.
This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, investment or accounting advice. Please consult your own tax, investment and accounting advisors before engaging in any transaction.