Maximize the benefits of your IRA dollars with a tax-free gift

Congress recently extended and made permanent the provision to allow donors age 70 ½ and older the opportunity to make gifts to the Oakland Museum of California and other charitable organizations with direct transfers from your IRA—without paying taxes on your distributions. You can make gifts in any amount up to a maximum of $100,000.

The transferred amount is excluded from your taxable income and can count toward the minimum required distribution for the year of the gift. There is not an income tax deduction for the transfer; the amount is simply not included in the IRA owner’s income.

To make such gifts, it is important not to withdraw funds prior to a gift, but have the gift amount distributed directly from your IRA. For those with check writing privileges on their accounts, this may be the most efficient way to make gifts directly from an IRA. Check with your IRA administrator or your tax advisor for more information.

Questions? Contact Linda Larkin at lalarkin@museumca.org or 510-318-8516.