In December 2015, President Obama signed into law the Protecting Americans from Tax Hikes Act. Among other things, this law permanently extends tax benefits for seniors who choose to direct IRA distributions to qualified charities. The benefit applies to taxpayers over the age of 70 ½ and to contributions up to $100,000.
A key benefit of a direct charitable contribution from an IRA to a nonprofit organization, such as Central Piedmont Community College (CPCC), is that the donation counts towards an individual's required minimum distribution. A gift from an IRA may also lower income taxes owed at year-end.
Another way to give is to designate a charitable interest as the beneficiary of an IRA. This allows a donor to make a future gift of assets while providing lifetime income to one's self or family members.
Benefits of an IRA contribution are threefold:
- A donor can fulfill charitable intent after income needs are met.
- Donors can provide an annual income for themselves or family members and the leftover balance to a charitable interest such as CPCC.
- Assets which typically carry a heavy tax burden can be left to a charity without the income or estate taxes.
ABC7 WLS Chicago: CPCC Alumnus John H. White Chicago Photojournalist John White Remembers Muhammad Ali Through The LensJune 8, 2016
On Sunday, one of the country's top photojournalists remembered the late Muhammad Ali, who he followed for a couple years in the late 1970s - both inside and outside the ring and around Chicago. Ali died Friday at age 74.
"This camera. I mirror what I see. When you feel something...you can't be around Champ and not feel anything," White said. See photos...