The new CARES (Coronavirus Aid, Relief, and Economic Security) Act is designed to help you, businesses and nonprofits facing economic hardship during the coronavirus pandemic.
Here are a few key provisions of the CARES Act that may affect your charitable goals and your stewardship of God’s gifts to you and your family:
New Tax Incentives
The CARES Act expands charitable giving incentives and allows taxpayers who take the standard deduction to make up to $300 of charitable contributions to qualified charities this year.* You might think that this is a small amount and would not make a difference. But what if all of our donors gave “just” $300? Such support would have a huge impact on those we serve.
*The $300 limit applies to the tax-filing unit. For example, married taxpayers who file a joint return and do not elect to itemize deductions are allowed to deduct up to a total of $300 in qualified charitable contributions on the joint return.
For those who do itemize their deductions, the new law allows for cash contributions to qualified charities such as the Archdiocese of Oklahoma City to be deducted up to 100% of your adjusted gross income for the 2020 calendar year.
Required Minimum Distributions Suspended
The new law temporarily suspends the requirements for required minimum distributions (RMD) for the 2020 tax year. This probably comes as a relief to many of you who would have had to withdraw from your retirement accounts. Many of our donors use their RMD to make a gift from their IRA. Despite the RMD suspension, remember that if you are 70½ or older, you can still make a gift from your IRA in the form of a Qualified Charitable Distribution (QCD) or name the Archdiocese of Oklahoma City as a beneficiary.
Why a Gift From Your IRA May Still Be a Good Idea
• Your gift will be put to use today, allowing you to see the difference your donation is making.
• You pay no income taxes on the gift. The transfer generates neither taxable income nor a tax deduction, so you benefit even if you do not itemize your deductions.
• Since the gift doesn’t count as income, it can reduce your annual income level. This may help lower your Medicare premiums and decrease the amount of Social Security that is subject to tax.
Your Charitable Goals
We are deeply grateful for your continued stewardship of God’s gifts and the support you are offering to your parish and the Archdiocese of Oklahoma City during this difficult time.
Please contact Stephen Zaborowski in the Secretariat for Stewardship & Development at stewardship@archokc.org or 405-709-2745 to discuss how your gift can help further the mission of the Church.
Please select one of the following giving methods: