Charitable IRA Distributions Have Been Extended for 2012 and 2013
The American Taxpayer Relief Act of 2012 enacted by Congress provides opportunities for you to consider that could benefit you and help support AIPAC’s work. If you are over the age of 70 ½, your retirement assets can now provide several options to benefit the educational programs funded through AIPAC’s affiliated charitable organization, the American Israel Education Foundation (AIEF), while doing so in a tax-advantaged way.
- The IRA Charitable Rollover has been extended until December 31, 2013, allowing charitable donations to be made directly from your IRAs to AIEF up to $100,000 - avoiding 2013 taxes on those distributions. If you and your spouse are both 70 ½, you may each be eligible to make such a gift. This type of donation can also be used to satisfy your annual Required Minimum Distribution amount.
- There is an extension that allows for any qualified charitable IRA distribution made this month to be treated as if it were done by December 31, 2012 – thereby making it a 2012 contribution with no tax consequences.
- Finally, another extension of the provision allows you to retroactively make charitable donations of any IRA distributions taken in December 2012, as long as such portion is transferred to a charity before February 1, 2013. This means your Required Minimum Distribution or other withdrawals you may have taken in December 2012 that would otherwise have had tax consequences can now be re-characterized as a December 2012 non-taxable contribution.
Please speak with the AIPAC Tomorrow team to learn more about establishing an endowment fund in your name by contacting Jodi Kurtis, Endowment Director, at [email protected]