If you are planning to make a charitable gift or gifts and have an IRA requiring a mandatory pay-out you may want to consider utilizing an IRA Rollover. There are many reasons to take advantage of new legislation that permits you to make charitable gifts from your individual retirement accounts (IRAs).
Individuals over age 70-½ may rollover $1,000, $5,000 or any amount up to $100,000 per year. The gift qualifies as the individual’s IRA annual minimum distribution and could substantially lower taxes.
The following limitations apply:
• The donor must be age 70-½ or older.
• The cap on annual IRA rollovers is $100,000.
• The contribution must be a direct gift to a charity (no deferred gifts).