WESTERN DISTRICT CONFERENCE
October 24, 2017
A weekly communication for:
WDC Churches and Pastors
WDC Executive Board, Commission, Committee and Task Force members
Any content may be used in bulletins and newsletters and
forwarded to congregational leaders and members.
WDC Sprouts is also available at: www.mennowdc.org (Publications)
IN THIS ISSUE:
*Substantiating qualified charitable distributions
Substantiating qualified charitable distributions
by Phyllis Regier, WDC Business Manager
More and more people over the age of 70½ are using IRA qualified charitable distributions to support their churches. Substantiating these contributions is a bit more involved than a regular contribution receipt. Below is an article from Richard Hammar, Church Law and Tax Report, Christianity Today, that outlines what is required by the IRS to provide to the donor of these contributions.
Church Contributions from IRAs – Richard Hammar
A qualified charitable distribution is any distribution from an IRA directly by the IRA trustee to a charitable organization, including a church, that is made on or after the date the IRA owner attains age 70½.
What, if any, substantiation is a church required to provide to a donor who makes a qualified charitable distribution or QCD? The IRS states in Publication 590 that donors must have “the same type of acknowledgement” of their contribution that they would need “to claim a deduction for a charitable contribution.” Publication 590 refers to the “Records to Keep” section in IRS Publication 526 (Charitable Contributions). This section summarizes the substantiation rules that apply to charitable contributions. To illustrate, for individual cash contributions of $250 or more, Publication 526 states that a donor must have an acknowledgment of the contribution from the charity that meets the following requirements:
1. It must be written.
2. It must list the amount of cash contributed; indicate if the charity provided any goods or services as a result of the contribution (other than certain token items) and, if so, a description and good faith estimate of the value of those goods or services; and, a statement that the only benefit received by the donor was an intangible religious benefit, if that was the case. The acknowledgment does not need to describe or estimate the value of an intangible religious benefit. An intangible religious benefit is a benefit that generally is not sold in commercial transactions outside a “donative (gift) context.” An example is admission to a religious ceremony.
3. The acknowledgement must be issued to the donor on or before the earlier of (a) the date the donor files a tax return for the year the contribution was made, or (b) the due date, including extensions, for filing the return. According to IRS Publication 590, a church would need to issue a receipt to a donor that meets these substantiation requirements for any QCD of $250 or more, even though these contributions will come directly from the IRA trustee rather than the donor.
Use this link to see a sample of a receipt for a QCD: http://mennowdc.org/resources-for-stewardship/ click on the Sample Qualified Charitable Deduction Receipt Letter
Reminder to WDC elected leadership persons who have registered for Reference Council – the meeting is this Saturday, October 28, from 8:45 am – 2:30 pm at the WDC office, 2517 North Main, North Newton, KS. The focus will be on building relationships, equipping and collaborating for ministry, and planning for the year to come in light of what our vision and mission calls us to.
Camp Mennoscah announcements
- Calling all volunteers! The remodeling of the Camp Mennoscah kitchen will begin this December, and we will need volunteers! Here is a beginning tentative schedule:December 2 – 9: Remove all present equipment and fixtures in kitchen. Remove ceiling and all plumbing pipes and electric as needed. December 11: Have kitchen area ready for plumbing and electrical contractors. Further dates will be advertised as we progress. If you are interested in working on the remodel project, please contact Jim Yoder at 316-284-3890 (call or text), email@example.com, or to Camp Mennoscah at (620)297-3290, firstname.lastname@example.org. Include your name, address, phone, and e-mail address. Thanks for considering this opportunity!
2. We have space available for you! Grab your photos and crafts–and a friend or two–and come to Camp Mennoscah’s Scrapbook and Crafts Retreat, November 17-19! It’s three days of amazing people, astounding make-n-takes, and astronomically grand times! Register online at campmennoscah.org or give us a call at 620-297-3290! We’re here to help you join in the fun!
Mennonite church announcements
1. Ten Thousand Village/Fair Trade International Gift Festival is coming to Newton, KS at the Mezzanine above Prairie Harvest, 601 N Main. It will be open on November 24-25, December 1-3, 8-10, 15-17. Hours on Fridays and Saturdays: 10 am-5 pm. Hours on Sundays: 1-4 pm.
- Hopi Mission School is not in operation this term while a reassessment is being made about its future. Please discontinue saving Campbell’s product labels. Many schools collect Boxtops for Education, so you are encouraged to give or send yours to a school in your community.
Western District Conference
2517 North Main, PO Box 306
North Newton KS 67117