A QCD is a direct transfer of funds from your IRA custodian, payable to a qualified charity. QCDs can be counted toward satisfying your required minimum distributions (RMDs) for the year, as long as certain rules are met.
People who hold Individual Retirement Accounts must take a required minimum distribution each year beginning at age 72 which increases the IRA holder’s total taxable income. However, if you are 70 1/2 or older, you can save on taxes by designating all or a portion of your RMD to India Transformed!.
Each person may give up to $100,000 per year. Because your Qualified Charitable Distribution (QCD) will go directly to charity, it is not considered taxable income. While funds in 401(k) or 403(b) plans are not eligible, such accounts can be rolled over to a traditional IRA, allowing you to give to charity using a QCD.
Please consult your legal and tax advisors.