Drake Tax - 1099-R: Qualified Charitable Distribution (QCD)

Article #: 11400

Last Updated: March 24, 2026

 

Tags: Drake Tax 1099R

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Important  The new box 7 code Y is not available in Drake Tax 2025.

To enter a Qualified Charitable Distribution (QCD) in Drake Tax, follow these steps: 

  1. Go to the 1099 screen.

  2. Select the Special Tax Treatments tab at the top of the screen.

  3. Either check Box 2 100% QCD up to $100,000 or enter an amount in Box 2 partial QCD up to $100,000.

Note  The limit per person is $100,000.

If the 1099-R is entered as an IRA and Box 2 100% QCD up to $100,000 is marked, only amounts in excess of the $100,000 will flow to Form 1040

A Qualified Charitable Distribution (QCD) is generally a nontaxable distribution made directly from an IRA by the trustee.

Per Publication 590, you cannot claim a charitable contribution deduction for any QCD not included in your income.