The Community Foundation of the Eastern Shore (CFES) is pleased to inform area donors and nonprofit organizations that the recent passage of the Protecting Americans from Tax Hikes Act of 2015 (the Act) extends a unique opportunity for holders of IRAs who are at least 70 ½ years old, announced Erica Joseph, CFES President.
President Obama signed the Act into law on December 18, 2015, permanently extending the provision allowing individuals to transfer their IRA assets directly to a qualified public charity without recognizing those assets as income. Holders of IRAs who are at least 70 ½ years old can make direct charitable transfers up to $100,000 per year.
“As a qualified public charity, the Community Foundation can provide donors several charitable fund options for their gift transfers,” Joseph said. Following are four types of charitable funds at the Community Foundation that qualify for tax-free transfers from IRAs:
Community Needs Funds: Meeting urgent and ever-changing needs in our community.
Field of Interest Funds: Connecting personal values to high-impact opportunities.
Designated Funds: Helping local nonprofit organizations succeed and grow.
Scholarship Funds: Helping young people in our community fulfill their dreams.
The Community Foundation urges donors to work with their professional advisor to determine the effects of this rule on their specific tax situation. For more information Contact Sharon Dickson, CFES Finance Director, at sdickson@cfes.org or call 410-742-9911.