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The Qualified Charitable Deduction (“QCD”), aka the “Charitable IRA Rollover”
Although recent law doesn't require you to withdraw any money from your IRA or other qualified plan until you're 73 years old, if you or your spouse are 70½ years or older, each of you can receive a significant tax gain by transferring up to $100,000 per year from your IRA to the Center by using the Charitable IRA Rollover.
Ordinarily, if you take the standard deduction, you get no tax advantage by making any IRA gift to the Center. But by using the Charitable IRA Rollover, you'll receive a significant tax break.
The Charitable IRA Rollover may also lower your tax rate if you take the standard deduction or itemize your deductions; avoid a “phase-out” of certain tax benefits if your adjusted gross income is too high; or if you'd like to use your Required Minimum Deduction to support the Center
Please talk to your accountant or our advisers in our Legacy Department for more information and to learn more about how to comply with the important rules surrounding the Charitable IRA Rollover. Remember, as with all discussions with our advisers, you should only rely on your legal or financial counsel when making a planned gift. Only they, not the Center, can provide you legal or financial advice.
Before recent law, if your children or others became holders of your IRA by inheritance, they typically had their whole life to slowly distribute the IRA and thus see most of it continue to grow tax free. Under new legislation, many children now have only 10 years to “stretch out” or distribute the IRA. The government estimates it will receive more than a billion dollars within 10 years from your children. To avoid this result, talk to our advisors about a “Stretch-Out IRA Charitable Remainder Trust," which lets your children recapture many of the stretch-out benefits of the old legislation.
One of the simplest ways to contribute from a retirement account is to name the Center for Biological Diversity as a beneficiary for part or all of what remains in your retirement account when you no longer need it. This includes your individual retirement accounts (IRAs), Keogh plans, 401(k) plans, 403(b) plans and other qualified pension plans. The proceeds of these plans will be distributed outside probate and are thus entirely free from income and federal estate tax.
For more details on leaving a legacy to the Center, please contact:
owlsclub@biologicaldiversity.org
(646) 770-7206
Center for Biological Diversity
Attn: Owls Club
P.O. Box 710
Tucson, AZ 85702
As stated above, please always consult with your legal and financial advisors when making a planned gift. The information you receive from the Center should not be relied upon as legal or financial advice. If you make the choice to leave a legacy to the Center, thank you. Here's the key information you'll need.
Legal description of the Center for Biological Diversity:
The Center for Biological Diversity, Inc., is a 501(c)(3) not-for-profit organization.
Federal tax ID number: 27-3943866.
Mailing Address: P.O. Box 710, Tucson, AZ, 85702-0710
Call: 520-345-5733 if your financial institution requires more information.
