Last week, the President signed the Tax Increase Prevention Act of 2014 (H.R. 5771), which extended a tax break on charitable donations from individual donor’s retirement accounts, including ROTH and traditional IRAs.
“Distributions can only be made to a qualified charitable organization such as OMRF,” said OMRF senior development director Ginny Carl, J.D. “And for the right donor, the benefits are outstanding.”
This provision allows individuals 70½ and older to contribute up to $100,000 in IRA assets by direct transfer to a qualified charitable organization like OMRF for 2014 only. The IRA charitable rollover is tax-free and not included in a donor’s adjusted gross income.
A gift to a charitable organization from an individual’s IRA can count toward the annual Required Minimum Distribution (RMD) required by the IRS. And by reducing taxable income, the provision can help you avoid or reduce tax implications. Please consult your financial advisor about your IRA and RMD.
Here are the benefits of the IRA Rollover in a nutshell:
• It qualifies as a required minimum distribution from your IRA.
• It’s easy and direct—the money transfers directly from your IRA to your selected charity.
• It’s non-taxable, so you can give a gift with an IRA distribution without pushing yourself into a higher tax bracket.
• You can take advantage of this option even if you don’t itemize your deductions.
• It lets you give to charity without dipping into your savings or checking accounts.
If you choose OMRF as recipient of your IRA rollover, you’ll reap the added benefit of an Oklahoma Biomedical Research Tax Credit. And if your gift is received by Dec. 31, it will be doubled through OMRF’s year-end matching opportunity.
“This is a great way to support the groundbreaking medical research at OMRF,” said Carl. “We hope that anyone whose goals include philanthropy will take advantage of this opportunity.”
Contact your plan administrator to make a transfer directly to OMRF before Dec. 31.
For more information, please contact Ginny Bass Carl at (405) 271-8137 or firstname.lastname@example.org.
Oklahoma Medical Research Foundation
825 NE 13th St.
Oklahoma City OK 73104
EIN # 73-0580274