I read your explanation about cash contributions. Thanks for the information. I bet the Salvation Army guys aren't too happy about this. Could you answer this question? My church is doing a building fund drive and I was thinking I saw that I could use my IRA money. Is that correct?
BR
BR
BR, This all depends on your age. When the rules on charities changed, Congress did throw one bone to the charity lobby. Taxpayers age 70 1/2 or older can now contribute up to $100,000 directly from an IRA to a charity without paying tax on the money. This helps taxpayers who don't itemize or who have to exceed a percentage of their adjusted gross income (7.5% for medical expenses, 2% for miscellaneous itemized deductions) in order to claim a deduction. But Congress wasn't all that generous -- this provision is only good through 2007.
So, unless you are over age 70 1/2 this won't work for you. As with all of my answers, make sure you discuss with your tax adviser before you finalize your decisions.
It is a pleasure serving you!
Larry Kopsa CPA
