Four days left to make your IRA Charitable Rollover

When President Obama made official on December 17, 2010, the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010, he reinstated the Individual Retirement Account (IRA) Charitable Rollover through 2011. This allows individuals aged 70 ½ and over to donate funds up to $100,000 from their IRAs to public charities without being mandated to report it as taxable income.

The new law has a special rule for 2010, taxpayers can make retroactive IRA charitable donations in January 2011 and have them count toward 2010. Only four days remaining to make this donation.

To qualify:

• You must be at least 70 ½ years old.
• You must be subject to Required Minimum Distribution from your IRA.
• Money is transferred directly from your traditional IRA to approved charities. Rollovers from 403(b) plans, 401(k) plans, pension plans, and other retirement plans do not qualify.
• Annual donations cannot exceed more than $100,000 per individual. Amounts more than $100,000 will be added to taxable income.
• The rollover for 2010 must be completed before January 31, 2011. The rollover for 2011 must be completed between January 1, 2011 and December 31, 2011.

Who could benefit?

2010 IRA and Tax Planning Reference Guide

Excellent resource document courtesy of OppenheimerFunds Retirement Services.

Among the topics include:
Page 1

• IRA Deductibility, Contribution and Eligibility Limits
• IRA Contribution Limits
• Roth IRA Eligibility for 2009–2010

Page 2

• Federal Income Tax Rate Schedules

Page 3

• Retirement Plan Limits and Distribution Rules
• Long-term Capital Gains and Dividends Tax Rates

Page 4

• Federal Estate and Gift Tax Schedules
• Retirement Saver’s Credit
• Health Savings Accounts (HSAs)
• Eligible Long-term Care Deductions

Page 5

• Common IRA-related Tax Forms

Page 6

• Education Savings Tax Incentives
• Social Security Schedules

Stephen Colbert's Year-End Estate Planning Tips

There was no estate tax in 2010 but it returns in 2011. Mr. Colbert has some suggestions for taxpayers most affected.

The Colbert Report	Mon - Thurs 11:30pm / 10:30c
Return of the Estate Tax
www.colbertnation.com
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