If instead of another person, you gift your IRA distribution to a YMCA, you can claim a deduction for your gift. The deduction is an itemized deduction, so in order to take advantage of the tax break, you have to forgo your standard deduction. However, the deduction is limited to a maximum of 50 percent of your adjusted gross income for the year and may be only 30 percent depending on the charity to which you make the donation.
Qualified Charitable Distributions
You can gift money directly from your IRA to a charity if you meet certain criteria. The distribution must be a required minimum distribution and you must be over 70 1/2 years old. In addition, you must have the trustee of your IRA transfer the money directly from the IRA to the YMCA and the amount of the qualified charitable distribution can’t exceed $100,000. The advantage to using a qualified charitable distribution to gift your IRA to the YMCA is you don’t have to report the distribution as income and then itemize your deductions to claim the tax break.