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. Below is a summary of key charitable giving tax provisions in the CARES Act that may affect you and your charitable goals.
These provisions apply for charitable contributions (non-seating priority donations) made in 2020 to OU Athletics’ Inspiring Champions Fund, and Facility Project funds.
Temporary Universal Charitable Deduction
Individual taxpayers who claim the standard deduction rather than itemizing their deductions may claim a charitable deduction up to $300 in 2020. Although modest in dollar amount, this universal charitable deduction presents an opportunity for the approximately 90% of U.S. taxpayers who do not itemize to enjoy a tax benefit for assisting charitable causes like OU Athletics & The Sooner Club.
Temporary Increase in Individual Income Limitations on Charitable Deductions
For those who do itemize their tax deductions, individual taxpayers may deduct charitable contributions up to 100% of their adjusted gross income in 2020, temporarily replacing rules limiting charitable deductions to 60% or less of a taxpayer’s adjusted gross income.
Raised Income Limitation on Corporate Charitable Deductions
Corporate taxpayers may deduct charitable contributions up to 25% of their taxable income in 2020, temporarily replacing the rule limiting corporate charitable deductions to 10% of taxable income.
Qualified Charitable Deductions from Inherited Retirement Accounts (“IRAs”)
Required minimum distributions (“RMDs”) from IRAs have been eliminated for 2020. As a result, a qualified charitable distribution from an IRA will not reduce an RMD that would otherwise be included in the IRA beneficiary’s income for tax purposes. However, if an IRA beneficiary receives a taxable IRA distribution in 2020, an offsetting charitable deduction will generally be available since the individual income limitations on charitable deductions have been temporarily suspended.
We are extremely grateful for your continued generosity and support of OU student-athletes. Please contact the Sooner Club at 405-325-8000 to discuss how your gift can help further our mission of providing a world-class student-athlete experience.
These provisions apply for charitable contributions (non-seating priority donations) made in 2020 to OU Athletics’ Inspiring Champions Fund, and Facility Project funds.
Temporary Universal Charitable Deduction
Individual taxpayers who claim the standard deduction rather than itemizing their deductions may claim a charitable deduction up to $300 in 2020. Although modest in dollar amount, this universal charitable deduction presents an opportunity for the approximately 90% of U.S. taxpayers who do not itemize to enjoy a tax benefit for assisting charitable causes like OU Athletics & The Sooner Club.
Temporary Increase in Individual Income Limitations on Charitable Deductions
For those who do itemize their tax deductions, individual taxpayers may deduct charitable contributions up to 100% of their adjusted gross income in 2020, temporarily replacing rules limiting charitable deductions to 60% or less of a taxpayer’s adjusted gross income.
Raised Income Limitation on Corporate Charitable Deductions
Corporate taxpayers may deduct charitable contributions up to 25% of their taxable income in 2020, temporarily replacing the rule limiting corporate charitable deductions to 10% of taxable income.
Qualified Charitable Deductions from Inherited Retirement Accounts (“IRAs”)
Required minimum distributions (“RMDs”) from IRAs have been eliminated for 2020. As a result, a qualified charitable distribution from an IRA will not reduce an RMD that would otherwise be included in the IRA beneficiary’s income for tax purposes. However, if an IRA beneficiary receives a taxable IRA distribution in 2020, an offsetting charitable deduction will generally be available since the individual income limitations on charitable deductions have been temporarily suspended.
We are extremely grateful for your continued generosity and support of OU student-athletes. Please contact the Sooner Club at 405-325-8000 to discuss how your gift can help further our mission of providing a world-class student-athlete experience.
Information contained herein was accurate at the time of posting. The information on this website is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in any examples are for illustrative purposes only. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results.
Other Ways to Make a Gift
stock transfer
Philanthropic gifts to the Sooner Club and OU Athletics can be made in the form of a stock transfer. Please contact your Sooner Club Representative or our office to ensure that your gift is allocated appropriately. In addition, please provide the following information when setting up your transfer.
Fidelity Investments
Account Number: X67-566080
DTC Number: 0226
Account Name: University of Oklahoma Foundation, Inc.
OU Foundation EIN/TIN:73-6091755
Charles Schwab & Co., Inc.
Account Number: 8769-8533
DTC Number: 0164
Account Name: University of Oklahoma Foundation, Inc.
OU Foundation EIN/TIN: 73-6091755
Fidelity Investments
Account Number: X67-566080
DTC Number: 0226
Account Name: University of Oklahoma Foundation, Inc.
OU Foundation EIN/TIN:73-6091755
Charles Schwab & Co., Inc.
Account Number: 8769-8533
DTC Number: 0164
Account Name: University of Oklahoma Foundation, Inc.
OU Foundation EIN/TIN: 73-6091755
TRANSFER SECURITIES
For gifts of securities, send by registered mail the unsigned stock certificates along with information about the gift designation to:
The University of Oklahoma Foundation, Inc.
100 Timberdell Rd
Norman, OK 73019
Mail the stock/bond power form (available from your broker) separately. Ensure that all owners of the stock sign this form.
The University of Oklahoma Foundation, Inc.
100 Timberdell Rd
Norman, OK 73019
Mail the stock/bond power form (available from your broker) separately. Ensure that all owners of the stock sign this form.
IRA DISTRIBUTIONS
Taxpayers age 72 or older may make a qualified charitable distribution (“QCD”) of up to $100,000 per year from an Individual Retirement Account (“IRA”) directly to the OU Foundation without incurring income tax on the withdrawal.[1]
The tax exclusion applies to traditional IRAs and Roth IRAs only. Other forms of retirement plans such as 401(k), 403(b), defined benefit and contribution plans, profit-sharing plans, Keoghs and employer-sponsored SEPs, and SIMPLE plans are not eligible.
Note that a QCD gift from an IRA cannot be used for seating priority gifts.
Please contact your Sooner Club Representative or our office to ensure that your gift is allocated appropriately.
[1] Make sure to consult your tax advisor if you wish to make a QCD from your IRA in the same year you make an IRA contribution, as limitations may apply.
The tax exclusion applies to traditional IRAs and Roth IRAs only. Other forms of retirement plans such as 401(k), 403(b), defined benefit and contribution plans, profit-sharing plans, Keoghs and employer-sponsored SEPs, and SIMPLE plans are not eligible.
Note that a QCD gift from an IRA cannot be used for seating priority gifts.
Please contact your Sooner Club Representative or our office to ensure that your gift is allocated appropriately.
[1] Make sure to consult your tax advisor if you wish to make a QCD from your IRA in the same year you make an IRA contribution, as limitations may apply.
