Thank you for participating in the first ever charitable IRA roll-over made possible by the passage of the Pension Protection Act of 2007! We greatly appreciate your gift to Harvard and your willingness to be on the vanguard of charitable giving from IRAs. As you know, this giving opportunity expired on January 1, 2008.

The 2007 IRS Form 1040 is currently available in print and on-line at http://www.irs.gov/. Specific information on how to report your gift from your IRA can be found on page 21 (Exception #3) of the Form 1040 instructions.

To briefly summarize these instructions, your IRA custodian or trustee will report all distributions from the IRA to both you, as the IRA owner, and to the IRS. You must then report the total IRA distribution on line 15a and the portion of the distribution that is taxable (the portion not distributed directly to charity) on line 15b. You should enter “QCD”, for qualified charitable distribution, next to line 15b.

For example, let us assume that in 2007 John Harvard was required to withdraw $10,000 from his IRA as his minimum distribution. If he decided to direct the IRA trustee to distribute $7,000 to Harvard as a gift and the balance of $3,000 to himself, he would report $10,000 on line 15a (total distribution) and $3,000 on line 15b (total distribution of $10,000 – charitable gift to Harvard of $7,000 = $3,000 in taxable distributions). Please note, charitable IRA gifts (QCDs)are not reported on Schedule A where itemized charitable gifts are reported, as such amounts have already been excluded from income.

We hope this information is helpful to you. Thank you again for your wonderful gift!

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