While there was no shortage of news coverage of the fiscal cliff in the last week, there was one piece of the legislation that surprised me, and it is certainly good news to our churches and our members, especially those who are older.
For 2013, we have the IRA Charitable Rollover back.
This means that for the rest of the year, your members can make a transfer directly out of their IRAs to the church (or other charity) and not have to pay income tax on it. And it also counts toward the required minimum distribution for the year.
This is, as the kids say, kind of a big deal.
There are a few keys to this:
The donor must be at least 70 1/2.
The transfer must be made directly from the IRA to the charity. If the check is cut to the donor and he writes a check to the church, it would be taxable.
The limit is $100,000 per person in total charitable transfers.
The Foundation has a bulletin insert ready to go for you to duplicate and provide to your congregation. Just send us an email and we’ll be happy to send it to you.
I hope that you have a blessed new year. As always, if there is anything we can do to help, please contact us.