Gift Through IRA Distribution

Taxes and Qualified Charitable Distribution

All IRA accounts are subject to a 50% excise tax. To avoid the 50% IRA withdrawal tax, an IRA account holder can take the required minimum distribution and use it as a Qualified Charitable Distribution. Don't get penalized for not taking your required minimum distribution on your IRA, make a donation with it to YAMM.

 

YAMM is an eligible charity that IRA account holders can directly transfer qualified charitable distributions from an IRA account.

 

The maximum amount of donations are up to $100,000 per IRA account holder example $200,000 for married couples if each holds an IRA account. Qualified Charitable Distribution “QCD” lowers your adjusted gross income on your tax return as a zero “QCD.” Which means fewer or no taxes you pay! This allows the account holder to save and be able to claim other tax credits. Qualified Charitable Distribution (QCD) cannot be considered income on your tax return.

 

IRA account holders cannot use Qualified Charitable Distribution (QCD) as an itemized deduction, however, will benefit more greatly from the way the Qualified Charitable Distribution is designed for the account holders not to pay taxes of 50% on the withdrawal of the required minimum distribution.