Individuals who make gifts to the Community Foundation of Northeast Iowa are able to take advantage of unique tax incentives.

Because the federal government recognizes the Community Foundation as a 501(c)(3) organization, donors may take both federal and state charitable deductions on their gifts to our funds.

In addition, donors are also eligible for a 20% Iowa state tax credit for gifts to permanent endowment funds at community foundations that meet national standards, like the Community Foundation of Northeast Iowa.

JUST ANNOUNCED - Charitable IRA Rollover Extended!

Transfer up to $100,000 from your individual retirement account to charity this year— tax-free. A law, renacted for 2008 and 2009 only, allows you to give more to charity and pay less in taxes.

How it works

Through December 31, 2009, you make a gift of up to $100,000 by transferring IRA assets to the Community Foundation. You must be 70 1/2 years old. If married, each spouse can transfer up to $100,000 from his or her IRA.

Your gift can be placed into a charitable funds in your name, the name of your family, or in honor of any person or organization you choose. We handle all administrative details.

More benefits

We can make your charitable IRA transfer easy, flexible and effective, helping you achieve your personal charitable goals and financial goals. We are happy to answer your questions and complete all required paperwork; or, if you prefer, we can consult with your financial advisor or estate planner to recommend a solution that’s right for you and your family.

You can transfer excess retirement assets up to $100,000 per year, in 2008 and 2009, directly and easily to the community foundation. The transaction incurs no federal income tax, and the asset is no longer part of your estate for tax purposes.  You can choose to give during your lifetime so that you (and your community) can see results sooner than if your gift had been made through the plan.

Larger estates face confiscatory tax rates of up to 75 percent if IRA funds are left to a dependent or family member (other than a spouse). Any amounts left in an IRA when an individual dies may be taxed as income to the beneficiary and are also considered assets for the purpose of calculating that person’s estate tax liability.

When you give your IRA to charity, your heirs are not burdened by the taxes associated with receiving your IRA upon your death. Instead, you can leave them other assets that have a more favorable tax treatment.

Your gift can be placed into an endowment that is invested and will grow over time. Grants addressing community needs will be made forever.

Contact us for more information today!