If you are 70 ½ or older, you can make a tax-free distribution from your IRA to Trout Unlimited. These “Qualified Charitable Distributions” (QCD) allow individuals to donate up to $100,000 each year without incurring income tax on that amount of their withdrawal. It’s an efficient way to support TU, and can help individuals save significant taxes.
To qualify as a tax-free distribution:
- Donors have to be 70 ½ or older to make “tax-free” donations through their IRA or Roth IRA. The donation is “tax-free” because your required minimum distribution would be taxed as ordinary income if it weren’t donated.
- The qualified charitable distribution (QCD) can be as much as a $100,000 per year. You can choose to give more than $100,000 per year from your IRA, but anything beyond that amount is subject to ordinary income tax.
- The donation must be made directly from the custodian of your IRA to Trout Unlimited.
- You cannot itemize the gift as a donation when filing your taxes, that would be essentially double counting the donation.
- The donation must be cashed (not just received) by Trout Unlimited in the calendar year to satisfy your required minimum distribution.
- You cannot receive any goods or services in exchange for the QCD portion of your IRA donation.
Please consult your professional tax advisor before contributing through your retirement account.
Another great way to support Trout Unlimited is by naming the organization as a beneficiary of your IRA, 401(k), or other qualified retirement plan. You can simply request a beneficiary designation form from your plan provider and include TU as a full or partial beneficiary.