Good news! On New Year’s Day, Congress passed the American Taxpayer Relief Act of 2012. It enables donors 70-½ and older to support their favorite nonprofits, such as Friends of Trees, with tax-free gifts from their individual retirement accounts.
The Relief Act makes available important tax-saving opportunities:
- A charitable IRA rollover gift made by Feb. 1, 2013 can be counted as a gift made for the 2012 tax year.
- If you received a distribution from your IRA in December 2012, you can make a gift to Friends of Trees before Feb. 1, 2013, and treat this as a direct transfer from your IRA.
- Individuals can make up to $100,000 in charitable IRA rollovers in a year. Distributions must be made directly from IRA trustees to Friends of Trees.