In the past I have been able to transfer money directly from my IRA to my church. This was a good deal because I did not have enough to itemize deductions. Can I do that again this year?
Howard
Howard this was a good idea for the last couple of years but you will have to wait if you want to be sure that the donation will be tax free.
First a little background. This provision allowed taxpayers that were over 70½ up to $100,000 a year tax free from regular IRAs or Roths. Although this had been a popular tax break, lawmakers allowed it to lapse at the end of 2009 along with other popular easings, such as the sales tax deduction.
We anticipate that the President and Congress will deal with renewing the expiring provisions in the lame-duck session. You will have to wait and see.
