Congress has just passed and the President has signed the legislation to avoid the combination of automatic tax hikes and spending cuts that has been commonly referred to as the Fiscal Cliff. That legislation contains many additional provisions including an extension of what many people call IRA charitable rollovers for all of 2012 and all of 2013.
These are referred to in the tax code as “Qualified Charitable Distributions.”
In a special provision, the law also now allows an individual to make a gift in January of 2013 and have it count as a 2012 distribution. So a qualified individual can make a gift in January and have it count as a 2012 gift or as a 2013 gift.
The individual must be at least 70 ½ years of age. This should not be confused with the IRA distribution requirements that start in the year following the year in which an individual turns 70 ½. They must be 70 ½ now. So, if today is January 7, 2013 – the individual should have been born on or before July 7, 1942 in order to do this.
For an IRA rollover gift, it must be from an IRA or a Roth IRA. It cannot be done from a 401(k), 403(b), Keough, or other qualified plan. Typically, an individual can roll over amounts from these plans to an IRA, and that step will be necessary if they wish to do this.
The amount cannot exceed $100,000 and the administrator or custodian of the IRA should make the check payable to the charity and deliver the check directly to the charity. It also must be an outright gift – it cannot be to a charitable remainder trust, gift annuity, pooled income fund, donor advised fund, or supporting organization.
For more information about if this type of gift is right for you, contact your financial advisor.
The easiest way to make a gift to Maryville College is to write a check payable to "Maryville College," or make a secure online gift by credit card, or call (865) 981-8196 to make your gift over the telephone. Make your gift today!
502 E. Lamar Alexander Parkway
Maryville, TN 37804
You can double the impact of your gift by utilizing your company’s matching gift program. If your employer has a matching gift program, you can obtain a matching gift form from your human resources or personnel department. After completing the form, please mail it to the MC Advancement Office at the address above. If you need assistance, please contact Eric Bellah at (865) 981-8225 or firstname.lastname@example.org.
Giving stocks and bonds that have increased in value and that you have owned for more than one year can provide even greater tax benefits than giving cash. Not only is the market value of the securities tax-deductible, but you also avoid paying the capital gains tax on the appreciation. Stock held in custody with a brokerage firm or bank trust department can be transferred directly from the custodian firm or bank to Maryville College's account at First Tennessee Bank. View details on how to transfer securities to MC.
A gift of real estate to Maryville College provides a charitable deduction for the full fair market value of the gift - up to 30 percent of your adjusted gross income if you have held the property for more than six months - with the usual five-year carryover.
Donations of artwork, books, equipment, collections, antiques, and other personal property may be given to Maryville College. Before making a gift of personal property, please consult with Maryville College to confirm that your gift can be used according to your wishes while also supporting the mission of the College.
Naming Maryville College as a beneficiary in your estate plan is a simple and lasting way to acknowledge the College's role in your life. Learn more and view sample bequest language.
Life insurance can be an attractive way to make a substantial deferred gift to Maryville College. You may choose to donate a paid-up policy that is no longer needed. Or you may create a new policy with MC as owner and beneficiary, in which case the charitable deduction is for the policy's cash surrender value or net premium paid on the policy, whichever is less. Or you may give a policy that is not fully paid up and take a deduction for the present value of the policy. Any subsequent premium payments will be fully deductible as charitable contributions.
Gifts that return income to the donor are excellent vehicles for retirement and overall financial planning. Learn more about charitable remainder trusts and charitable gift annuities.
If you are currently employed by Maryville College and wish to contribute via payroll deduction, please contact the Human Resources department at (865) 981-8308 or visit the HR office in Fayerweather.