Extension of the IRA Charitable Rollover might help you support the Kauffman Center

Date: November 12, 2008

Author: Kauffman Center

Some good charitable giving news has emerged during the past month’s challenging financial events, and it may allow you to support the Kauffman Center for the Performing Arts before year-end.

On October 3, 2008, as part of the $700 billion economic bailout package, Congress extended the Charitable IRA Rollover provisions from the 2006 Pension Protection Act, allowing taxpayers to take advantage of Charitable IRA Rollovers through December 2009. This means that donors who are at least 70 ½ years old can transfer up to $100,000 per year from their IRAs directly to a qualified charity and avoid having to pay income tax on those amounts as a required minimum distribution.

Many taxpayers benefited from this provision in 2006 and 2007, but Congress allowed the provision to expire at the end of last year. Extending the provision has been under consideration since then and many nonprofits have been eager for Congress to provide some additional year-end giving incentives.  This became even more important for charities like the Kauffman Center given the current economic landscape.

As with any donation of this complex nature, we recommend that you consult your tax advisor as some aspects of the law vary from state to state.

However if you find that you would like to take advantage of this opportunity to support the Kauffman Center, we would be glad to discuss this with you.  Simply contact Kristin Smithson at 816-994-7239 or email her at ksmithson@kauffmancenter.org.

For more details on the IRA Rollover, check out these tax tips for donors,  provided by the Independent Sector.