We are working on our first ever CGA funded by a QCD (qualified charitable deduction from an IRA) and would like this community's expert review! This CGA was funded by a QCD and the donor will not receive a charitable deduction. We believe we should book the present value/remainder value in RE similar to our other CGAs (which would otherwise also be the charitable deduction allowed, but not in this case), and then provide an IRA receipt/letter to the donor simply for the face value (gross total/purchase price), and note in the acknowledgement/receipt that no tax deduction is available due to the funding source being a Qualified Charitable Distribution from an IRA.
Does this sound like the right recording and receipting approach?
Thanks in advance, AASP'ers!
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Faith Danforth
The Lucile Packard Foundation for Children's Health
faith.danforth@lpfch.org------------------------------