Tax-Free IRA/Charitable Distributions (Tax-Free Charitable IRA Rollover)
An individual age 70½ or older can make direct charitable gifts from an individual retirement account, including required minimum distributions, of up to $100,000 to public charities (other than donor advised funds and supporting organizations) and not have to report the IRA distributions as taxable income on their federal income tax return.
North Valley Hospital Foundation would not be eligible to receive an gift directly from an IRA; however, North Valley Hospital as a 501(c)(3) could receive such a gift directly. Alternatively, this type of gift could also be made to the Whitefish Community Foundation for the benefit of the North Valley Hospital Endowment. Tax-free distributions are for outright (direct) gifts only – not life-income gifts. There's no charitable deduction for the IRA distributions. However, not paying tax on otherwise taxable income is the equivalent of a charitable deduction.
Other Planned Gifts
There are a number of other types of opportunities that can provide tremendous tax advantages for you and/or your heirs.
Life Income Gifts
- Charitable lead trust
- Residence with life interest
- Life insurance
- Charitable gift annuity (current and deferred)
- Charitable remainder trust
Please consult the Whitefish Community Foundation
or your tax advisor to get more information on what tool might be best for you.