The good news. . .
. . . there's still time to support Carolina and SILS with an IRA rollover gift that qualifies for tax year 2010
On Dec. 17, 2010, President Obama signed into law the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010. The IRA Charitable Rollover provision, initially enacted in 2006, was extended for 2010 and 2011. The good news is that even though it's now 2011, you can still make a rollover gift to Carolina that qualifies for tax year 2010! Here are the guidelines:
- UNC must receive the postmarked distribution by Jan. 31, 2011.
- You must be at least 70 1/2.
- You may distribute up to $100,000 for the year.
- Distributions must be made directly from the trustee/administrator of your IRA to a qualifying public charity (you cannot receive the distribution prior to gifting to the charity).
- No charitable deduction is allowed, since this provision allows you to exclude the distribution from income.
Who might benefit?
Individuals who have accumulated IRA assets that may not be needed to support their retirement lifestyle, but are required to take distributions each year. A qualified charitable distribution can partially or completely satisfy annual minimum distribution requirements, without having to recognize the distribution as income.
Individuals who have made, or are contemplating making charitable gifts that exceed 50 percent of their adjusted gross income (the maximum amount of deduction allowed for cash gifts). A qualified charitable distribution is not subject to the 50 percent AGI (Adjusted Gross Income) limitation because no charitable deduction is permitted.
Individuals who do not itemize deductions on their federal income tax returns. Many prefer claiming the standard deduction and filing a less complicated return. Making a qualified charitable distribution will not require individuals to itemize, so there will be no need to change their tax preparation preferences.
We urge you to consult your professional advisors regarding this charitable IRA rollover opportunity. To help ensure that your gift meets all requirements as a qualified charitable distribution, please feel free to contact the Office of Gift Planning or Stephanie Cole, SILS director of Development. They may also assist you with any questions regarding making Carolina a beneficiary of your retirement plan.
Our contact information:
Elizabeth Ayers
Interim Director of Gift Planning
Phone: (919) 843-5289 or (800) 994-8803
E-mail: elizabeth_ayers@unc.edu
or
Stephanie Cole
Director of Development, School of Information and Library Science
Phone: (919) 843-9378
E-mail: stephanie_cole@unc.edu
