Act Now to Take Advantage of IRA Charitable Rollover for 2016

Newly enacted legislation, HR 2029, dubbed the Protecting Americans from Tax Hikes Act of 2016, permanently extends the IRA Charitable Rollover for 2016 and going forward.

The provision allows individuals age 70½ or older to make tax-free gifts totaling up to $100,000 from a traditional IRA account directly to the Taft School, provided they are completed by 12/31. If your spouse has IRA accounts, you may each make gifts of up to $100,000 from these accounts. While you cannot claim an income tax charitable deduction for an IRA charitable rollover, this distribution from your IRA counts toward your minimum required distribution for the account and does not trigger income tax for you. It is a tax-free transfer from the IRA account directly to the Taft School.

In order to complete an IRA Charitable Rollover for 2016, please contact your IRA provider for exact instructions. Such transactions usually take a few weeks, but the provider should be able to fast-track such a transaction because Congress and the President acted so late this year.

If you need additional assistance, please contact our office. If you do plan to complete an IRA Charitable Rollover for the Taft School, please let us know so that we can look for it. Thank you for considering a gift to support our work this year. Your dedication and support are sincerely appreciated.

Download Sample Letter of Instruction to Taft School

Download Sample Letter of Instruction to Advisor