This document provides information about making qualified charitable distributions from Traditional IRAs or rollover IRAs without having to pay federal income taxes. It outlines who qualifies to make these distributions, where the contributions can be directed, how to implement the strategy, how it can be used to meet required minimum distributions, and other details about the tax implications. The key points are that eligible individuals age 70 1/2 or older can distribute up to $100,000 annually to qualified charities from their IRAs without tax consequences, the distribution must be paid directly to the charity, and individuals should consult their tax advisors before utilizing this strategy.
What exactly is the charitable deduction? The charitable deduction allows you to take off the value of property you offer to charity from your property and might minimize any federal gift and estate tax that might be owed. Charitable gifting allows you to satisfy your personal philanthropic desires and satisfy your estate planning objectives.
What exactly is the charitable deduction? The charitable deduction allows you to take off the value of property you offer to charity from your property and might minimize any federal gift and estate tax that might be owed. Charitable gifting allows you to satisfy your personal philanthropic desires and satisfy your estate planning objectives.
IT’S IRA SEASON – SAVE FOR RETIREMENT WHILE ENJOYING TAX BENEFITSSpencer Savings Bank
As a group, Americans are not doing well in preparing for retirement. Research shows that most Americans do not have enough money saved for retirement and many are very concerned. One of the main reasons for lack of saving are incomes that have not changed (or decreased) over the years, while cost of living continues to rise and salaries are not going as far as they once did to cover all the necessities.
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An irrevocable trust is created to remove assets from the taxable estate and the grantor (or the grantor's spouse) is given certain powers that cause the trust to be a grantor trust from income tax purposes.
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To properly write a provisional patent application, it should have 1) a complete description of how the invention works and 2) a set of technical drawings that help explain how the invention works. The key concept is that a provisional patent application must fully describe how the invention works, including the components that make up the invention and how the components are arranged. If any portion of the invention is not clearly described, it is not protected!
IT’S IRA SEASON – SAVE FOR RETIREMENT WHILE ENJOYING TAX BENEFITSSpencer Savings Bank
As a group, Americans are not doing well in preparing for retirement. Research shows that most Americans do not have enough money saved for retirement and many are very concerned. One of the main reasons for lack of saving are incomes that have not changed (or decreased) over the years, while cost of living continues to rise and salaries are not going as far as they once did to cover all the necessities.
What Are the Tax Benefits of Charitable Giving? - Worth MagazineCBIZ, Inc.
John Sheridan, (CPA, Senior Manager at CBIZ) wrote a piece published to Worth Magazine on how charitable giving will affect your taxes. Be sure contact John should you have any further questions.
An irrevocable trust is created to remove assets from the taxable estate and the grantor (or the grantor's spouse) is given certain powers that cause the trust to be a grantor trust from income tax purposes.
Americans are some of the most generous givers on the face of the planet. They reach into their pockets and take out their checkbooks on behalf of others more often than any other industrialized nation.
Bunching Tax Deductions to Maximize Their BenefitSarah Cuddy
Bunching expenses, particularly charitable gifts, in one year rather than over multiple can provide added tax benefits, especially after the latest tax law changes. And combining that plan with a donor-advised fund can compound the tax savings.
Ann Casey from Madison Community Foundation and Theresa Zeidler-Shonat from Smith & Gesteland discuss approaches to Planned Giving. Leaving a legacy takes some organization to pull it off successfully.
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To properly write a provisional patent application, it should have 1) a complete description of how the invention works and 2) a set of technical drawings that help explain how the invention works. The key concept is that a provisional patent application must fully describe how the invention works, including the components that make up the invention and how the components are arranged. If any portion of the invention is not clearly described, it is not protected!
Why is real estate is the most popular investment in a self-directed IRA? The simple answer ... the endless options and a never-ending supply of assets.
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In this presentation, you will learn about self-directed real estate IRAs, the many types of property investment assets, how to buy real estate with your IRA using a self-directed plan, prohibited transactions to avoid, and much more great guidance. Advanta's goal is to educate and empower you to invest in what you know best.
Be sure you’re traveling in the right direction. From financial concerns to sound solutions, let’s talk about the challenges you face as you navigate the road toward retirement.
Barton Associates Locum Tenens Tax Guide Webinar Slide DeckJess Huckins
How can you make filing your taxes as an independent contractor as easy as possible? How will tax reform affect your locum tenens career in the years to come? Barton Associates’ locum tenens tax guide author and healthcare tax expert Andrew D. Schwartz, CPA, addressed these questions and more in our recent webinar. Here is the slide deck.
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Charitable IRA distribution tax alert
In 2015 and subsequent years, eligible IRA owners can make qualified charitable distributions up to
$100,000 ($200,000 for married couples who each qualify separately) from Traditional IRAs without
having to pay federal income taxes1
on the distributions. These distributions are not tax deductible and
must be made payable directly to a qualified charity.2
If you want to support your favorite cause or secure a
legacy that lasts beyond your lifetime, there are a number of
philanthropic strategies designed to help you direct your wealth
in ways that reflect your values and beliefs—while also meeting
your personal goals and providing tax benefits. One strategy
you may want to consider is to make a federal tax-free charitable
distribution from your Traditional IRA or rollover IRA (IRRA®).3
This is a complex strategy and you should consult with your tax
advisor before making a federally tax-free charitable distribution
from your IRA.
Who qualifies for this strategy?
• You must be age 70½ or older at the time of the distribution.
• You may distribute any amount up to $100,000 per tax year.
• You and your spouse may make combined distributions up
to $200,000, provided each of you owns at least one IRA,
and each of you is at least 70½ years old at the time of the
distribution and can make a qualified charitable distribution up
to $100,000 from your respective IRA accounts.
• You may distribute from your Traditional IRA and IRRA.
Distributions may not be made from SEP and SIMPLE IRAs.3
Where can you direct contributions?
• The distribution proceeds must be paid directly to the
qualified charity.
• Charities must receive distributions for each tax year no later
than December 31 of the respective tax year to be considered
donated to the charity for the year.
• Donor advised funds and certain private foundations are not
eligible charities. You must check with your tax advisor to
determine whether a charity is qualified to receive an IRA
charitable distribution under applicable tax law.
• You must obtain written acknowledgment of each IRA
contribution from each qualified charity recipient to receive
the tax-free treatment.
• You cannot receive any goods or services in return for the
charitable IRA contribution.
How do you apply this strategy?
Your financial advisor can help you evaluate this strategy to
determine whether it makes sense in your overall estate plan.
If you decide to implement this strategy and initiate a
distribution from your IRA, you or your financial advisor must:
• Complete the IRA/IRRA One-Time Distribution Form.
Complete the Merrill Lynch direct charitable distribution form
letter. Merrill Lynch will send this letter to the charity with the
check on your behalf.
Can you use the qualified charitable distribution to
meet required minimum distributions for the year?
Yes, you can use up to the entire $100,000 per person each
year. If you have not taken your RMD before the end of the tax
year, and you plan to take the RMD as a qualified charitable
distribution, you have until December 31 of the respective tax
year to make the distribution. The amount distributed as a
charitable IRA distribution is included in the owner’s required
minimum distribution for the year.
Provisions for charitable
IRA distributions extended