Q&A with Alice Parkerson, vice president for development
Q: Why the urgency?
A: The charitable IRA Rollover is back, but the new law will only be in effect for the remainder of 2014.
Q: How does it work?
A: If you are age 70 ½ or older, you can make a tax-free gift totaling up to $100,000 from a traditional IRA account directly to a fund at the Greater New Orleans Foundation.
Q: May I make a distribution to my donor advised fund?
A: No, but there are several other way to support the needs of the community through a donor designated, field of interest, or unrestricted fund.
Q: Will you have to pay income tax on money?
A: No, but this opportunity applies only to IRAs and not to other types of retirement plans.
Q: What if my spouse has an IRA account?
A: You can each make gifts up to $100,000.
Q: Can we claim this as a charitable deduction?
A: While you can’t claim a charitable deduction for IRA gifts, this distribution from your IRA counts toward your minimum required distribution for the account and does not trigger income tax for you.
It’s a tax-free transfer from the IRA account directly to the Greater New Orleans Foundation.
Q: How do you complete an IRA Charitable Rollover?
A: Please contact your IRA for exact instructions. They can help fast-track your request. Also, please let us know so that we can be on the lookout for the gift.
For more information on how you can make a tax-free gift through your IRA, please call Alice Parkerson, vice president for development, at (504) 598-1291 or email alice@gnof.org