This past December, the President of the United States signed into law the Protecting Americans from Tax Hikes Act. Among the twenty-two permanent tax breaks included in this landmark legislation was language that made IRA Charitable Rollovers retroactive for the 2015 tax year and permanent for 2016 and beyond.

An IRA Charitable rollover enables individuals, age 70½, who face mandatory required minimum distributions, to contribute up to $100,000 per year from a traditional IRA (or a Roth IRA in certain situations) directly to charity. This qualified charitable distribution provides a dual benefit to donors in that they count toward the required minimum distribution, but are not counted as taxable income when made to a qualifying charity like Warm Beach Camp.

The benefit of making an IRA charitable rollover instead of paying income tax on an IRA mandatory withdrawal generally makes this gift worth considering. As always, be sure to check with your personal tax advisor or financial planner to look at your specific situation.

If you have questions about how to make charitable IRA rollover gifts, simple bequests or organizing your estate documents, our WBC Foundation Director, Scott Rossiter, is ready to assist you. Please call (425) 299-8661 to set up an appointment, or send an e-mail to him.