As you make your tax plans for the end-of-the-year, it is probably wise to familiarize yourself with several important year-end charitable giving techniques and deadlines so you can be prepared. We are here to help you!

  • Stock, not cash! As you prepare for year-end giving, don’t automatically reach for the checkbook! Gifts of long-term appreciated stock to your donor-advised or other type of fund at the Winona Community Foundation is always one of the most tax-savvy ways to support your favorite charitable causes because capital gains tax can be avoided. Similarly, if you are a business owner, you can work with your advisors and the Foundation staff to explore how you might give shares in the business to your fund as a part of your overall estate plan. Not only will transfers be eligible for a charitable deduction during the year of transfer (and at fair market value if you held the shares for more than one year), but also these gifts could potentially reduce income tax burdens triggered upon a future sale of the business.

  • QCDs from IRAs. As always, keep in mind that the Qualified Charitable Distribution (“QCD”) is a very smart way to support charitable causes. If you are over the age of 70 ½, you can direct up to $100,000 from your IRA to certain charities, including a field-of-interest, designated, unrestricted, or scholarship fund at the community foundation. If you’re subject to the rules for Required Minimum Distributions (RMDs), QCDs count toward those RMDs. That means you avoid income tax on the funds distributed to charity. Our team can work with you and your advisors to go over the rules for QCDs and evaluate whether the QCD is a good fit for you.


Above all the deadlines and tax talk, we wish you and your loved ones a joyful holiday season and a prosperous new year!