Some seniors are finding that their taxes are going up despite a more generous standard deduction.  This is true because of a tax provision that requires seniors 70 ½ and older to take money from their retirement accounts even if they don't need the cash.


Many individuals who itemized in the past may find that taking the now-higher standard deduction is a better tax move.  However, if you take the standard tax deduction on your tax return, you can't itemize and claim certain deductions such as charitable contributions.


But there is a way for some seniors to still get credit for their giving, thereby reducing their taxable income even if they don't itemize.


One often over-looked tax break is the Qualified Charitable Deduction (QCD).  If you transfer funds directly from you IRA to a 501©3 organization such as the Central Piedmont Community College Foundation, those dollars count toward your Required Minimum Deduction (RMD) for the year and are not counted as income.  The net effect:  You are getting a tax deduction for charitable giving without itemizing deductions.  If you normally make charitable contributions, this is a great way to help the College and receive a benefit yourself.  
For more information on giving through your IRA or other retirement assets, please contact
              Brenda Lea
              Director, Planned Giving
              brenda.lea@cpcc.edu
              704.330.6803


(Portions of this article taken from THE WASHINGTON POST, Michelle Singletary, 03/25/19)