Various ways to give and receive tax cuts
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Did you know that you can get great tax deductions by making a year-end gift? Impact Global Health Alliance Global is a 501c3 nonprofit organization, which means that every gift you make to us before the ball drops on Dec.31st helps reduce the taxes you pay in 2015. There are many options for making your year-end gift aside from writing a check, see a brief guide for year-end gift ideas below.
Gifts of Cash
There is no easier way to earn a charitable tax deduction and support us at the same time than by simply writing a check. As long as your envelope is postmarked by December 31, 2014 your gift will qualify for tax purposes.
Gifts of stock
Giving long-term appreciated stock offers you a two-fold tax saving. First you avoid paying any capital gains tax on the increase in value of your stock. In addition, you receive a tax deduction for the full fair market value of the stock.
Gifts of Real Estate
If you own a home, vacation house, or acreage, a charitable gift of real estate can be especially advantageous. If you sell the property you will be taxed on its appreciated value. Whereas, by donating it you avoid the tax and receive a charitable deduction for the full fair market value of the real estate.
Gifts of Life Insurance
If you own a life insurance policy that is no longer needed, you can give it to us and take a charitable deduction approximately equal to the cash value or the adjusted basis.
Life Income Gifts
A life income gift allows you to transfer assets now and continue to receive income from the cash, stock, or other property contributed. This means that you can increase your income for life while receiving a generous charitable tax deduction in 2014. Also, if you contribute stock you avoid any gains tax on appreciation. Life income gifts are generally made through a trust arrangement called a unitrust or an annuity trust.
A unitrust allows you or a beneficiary to receive a percentage of the trust every year. With an annuity trust you or a beneficiary receives a fixed amount every year. If you have already considered a provision for us in your will, please note that a life income gift can often be preferable.
For Further Information
This is just an overview of some of the opportunities for you to make a year-end gift. A gift that can benefit both you and our cause. Be sure to check with you accountant and tax advisor for information on how these rules apply to your situation.
We would be pleased to provide you with additional information on any gifts you may be considering. Thank you for your support at now and throughout the year!
Other Resources
Tips from IRS for Year-End Gifts to Charity
Timing of Charitable Contributions
Information for this publication was provided by Calder Sinclair http://caldersinclair.com/
