Qualified Charitable Distribution
With the SECURE Act changing the age for RMDs to 72, does that mean that the age for making QCDs will also rise to age 72?
With the SECURE Act changing the age for RMDs to 72, does that mean that the age for making QCDs will also rise to age 72?
Permalink Submitted by Alan - IRA critic on Mon, 2020-01-06 17:20
No. QCDs can still be made at 70.5, but they will not offset RMDs until an RMD distribution year rolls around. Even without offsetting RMD income, the QCD is more tax efficient than donating through other means even if the taxpayer can itemize the donation. On 1/1 of year 72, the timing implications apply of when the QCD is distributed as compared to other non QCD distributions. The QCD must be done before the RMD is otherwise distributed or the QCD will not offset the RMD.