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How do I account for QCD's?

How do QCD's reduce my taxable income?
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2 Replies

How do I account for QCD's?

that should have been a question you came across when entering your 1099-R.

You are asking from TT Live, for which you paid extra.
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PattiF
Expert Alumni

How do I account for QCD's?

To report a qualified charitable distribution on your Form 1040 tax return, you'll use the 1099-R (even though there's no indication that it was a QCD). Enter the info as a 1099-R and you'll be asked in one of the follow-up questions if it was a Qualified Charitable Distribution.

TurboTax includes the full amount of the distribution reported on your Form 1099-R on line 4a (IRA Distributions) of your Form 1040. The taxable amount reported on Line 4b will be the total distribution less the QCD amount and will have "QCD" entered next to it.

 

The amount that you donate is not taxed as income. If you need to take an RMD (required minimum distribution) and donate this to charity the amount will not be included in your income. This excludes non-deductible contributions. You will also get a deduction for the charitable contribution on the schedule.

 

@maryfranklin92-g

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