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Returning Member
posted Jan 6, 2020 11:46:02 AM

RMD

I took my RMD for 2019 a portion of which I donated to my church.  Can I report the balance as income and still take the church donation as a deduction?

0 3 679
3 Replies
Level 15
Jan 6, 2020 2:03:06 PM

Was your donation to the church made by an IRA custodian sending the money directly to the church?  If not, the entire amount must be included in income and any deduction for the charitable contribution would have to be taken on Schedule A.  If the money was instead properly transferred to the charity by the custodian and qualifies as a Qualified Charitable Distribution from your IRA, the entire amount will be still be reported on single Form 1099-R and in the questions that follow your entry of the Form 1099-R details TurboTax will ask how much you had your IRA custodian transfer to charity.  TurboTax will then exclude this portion from your income on Form 1040 line 4b and will include the notation "QCD" next to the line.  The remainder will automatically be included on line 4b (assuming no basis in nondeductible traditional IRA contributions).

Returning Member
Jan 8, 2020 4:50:48 PM

YES. THE DONATION WAS SENT DIRECTLY TO THE CHURCH BY THE IRA CUSTODIAN.

Level 15
Jan 8, 2020 5:48:42 PM

Then the second half of my answer applies.  TurboTax will ask how much of the distribution was transferred to the charity by the custodian and will exclude that portion from the amount on Form 1040 line 4b.