Make a Qualified Charitable Distribution to Valley of the Sacred Heart
A QCD to the Valley of the Sacred Heart is a wise way to give because it lets you support a mission you love while lowering your taxable income. For those aged 70 1/2 and older, a QCD to Valley of the Sacred Heart can be excluded from your taxable income (up to $108,000 per year), providing a direct tax benefit. By giving straight from your IRA, you can meet your required minimum distribution and make a meaningful impact—without paying extra taxes. It’s a simple, powerful way to help VSH continue its good work.
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Eligibility: You must be at least 70½ years old at the time of the distribution.
Source: The money must come directly from an IRA (traditional, rollover, or inherited), not from a SEP or Simple IRA.
Donation process: You instruct your IRA custodian to send the funds directly to the qualified charity (Valley of the Sacred Heart). The custodian will issue a check to the charity.
Annual limit: The maximum amount you can donate is $108,000 per person, per year.
Charity: Valley of the Sacred Heart is a 501c3 organization. EIN: 88-2629532
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Tax-free income: The distribution is not subject to ordinary federal income tax.
Satisfies RMDs: A QCD can fulfill your required minimum distribution, or part of it, for the year.
Non-itemizer option: It's a tax-efficient way to give for those who do not itemize deductions.
Estate planning: It can help reduce the size of your taxable estate.
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Direct transfer: The distribution must be sent directly from the IRA to the charity. You cannot receive the money first.
No tax deduction: You cannot also claim a tax deduction for the amount given as a QCD.
Reporting on taxes: Your IRA custodian will send you a Form 1099-R. On your Form 1040, you report the full distribution but report a taxable amount of zero, writing "QCD" next to the line.
State taxes: State tax rules may vary, so it's best to check with your advisor.