DON'T PAY TAXES! — Legally — On Your Tax-Deferred IRA…

…If You Are at Least 70½ Years Old

Here’s How:

This calendar year, a gift distributed from your tax-deferred IRA to your church, your favorite charity, or other non-profit organization will be a tax-free distribution.

You may make such a tax-free charitable gift from your tax-deferred IRA to any eligible charitable, educational, or religious institution only if:


You make the gift before the end of this 2009 calendar year. Congress may extend this benefit, but act now to be on the safe side.

You cause thedistribution check from your IRA administrator to be made payable directly to the eligible institution.

You contribute less than $100,000 per year.

Reap These Benefits

Because of this tax-advantage, you could make your usual gift at lower cost to you, or make a larger gift at the same cost to you.

This charitable gift is subtracted from your Adjusted Gross Income (AGI) and counts toward your Required Minimum Distribution and so it may move you down into a lower tax bracket.

Since this gift is subtracted from your AGI, it does not count toward 50% of your AGI limitation on charitable gifts of cash.

Taxpayers in states that do not allow itemized deductions and follow federal income inclusion rules may realize state as well as Federal tax benefits.

For more information call Robert S, Jackson, PhD, principal of Oaktree Capital Corporation, a Registered Investment Advisor (RIA) at 772 725-8787 to set up a personal consultation, email oaktreecapitalgroup@comcast.net or contact your professional financial or tax advisor.


This article was prepared by Robert S. Jackson, PhD and Patrick Murfin of Oaktree Capital Corporation and may be reproduced with attribution.