Qualified Charitable Distributions (QCDs) are tax-free donations from your individual retirement account
(IRA) to a qualified charity12
Here are the key points:
- You must be age 70½ or older to make a QCD in your taxable income.
- You can’t deduct a QCD from your taxes, but the savings on your income may still make this kind of donation tax-savvy.
- The amount is capped at $100,000 annually per person.
- The money must be paid directly to an approved charity.
