By BJC Staff Reports
There are two methods for making a charitable donation that could give you an additional tax benefit.
Donate appreciated stock. If you have appreciated stock or mutual fund shares (currently worth more than what you paid) that you have owned for more than a year, consider donating them to the Baptist Joint Committee. You can generally claim an itemized charitable deduction for the full market value at the time of the donation and avoid any capital gains taxes.
Make charitable donations out of your IRA. The IRA charitable rollover allows individuals 70½ or older to make tax-free distributions to charity from an IRA of up to $100,000 per taxpayer. An IRA charitable rollover is described as a “qualified charitable distribution,” or money that individuals may direct from their traditional IRA to eligible charitable organizations such as the BJC. Individuals may exclude the amount distributed directly to charity from their gross income. This provision is set to expire on Dec. 31, 2013.
Check with your tax adviser or IRA administrator to see if these charitable gift opportunities might be right for you.
From the November/December 2013 Report from the Capital. Click here for the next article.
