No. A direct transfer of funds from your IRA custodian, payable to a
qualified charity is referred to as a Qualified Charitable Distribution (QCD). QCDs can be counted toward satisfying your required
minimum distributions (RMDs) for the year, as long as certain rules are
met. While the QCD amount is not taxed, you may not then claim the distribution as a charitable tax deduction.
Here are the requirements for making QCDs:
- You must be 70½ or older to be eligible to make a QCD.
- QCDs are limited to the amount that would otherwise be taxed as ordinary income. This excludes non-deductible contributions.
- The maximum annual amount that can qualify for a QCD is $100,000.
This applies to the sum of QCDs made to one or more charities in a
calendar year. (If, however, you file taxes jointly, your spouse can
also make a QCD from his or her own IRA within the same tax year for up
to $100,000.)
- For a QCD to count towards your current year's RMD, the funds must
come out of your IRA by your RMD deadline, generally December 31.
- Any amount donated above your RMD does not count toward satisfying a future year's RMD.
- Funds distributed directly to you, the IRA owner, and which you then give to charity do not qualify as a QCD.
