A Qualified Charitable Distribution (QCD) is a nontaxable distribution from an IRA to an organization eligible to receive tax-deductible contributions like the BDC.

According to the IRS, you can make a QCD if:

• You are at least 70 1/2 years old on the day of the distribution
• The QCD counts toward the required minimum distribution
• You receive an acknowledgment of the contribution from the organization
• The QCD amount cannot be more than the amount of the distribution that would count as income
• Declare the QCD as income to claim the charitable contribution as a deduction