Year-end giving benefits most people on their taxes. Charitable gifts along with paying property taxes early and other such strategies, help us reduce our tax burden while helping others, and ourselves.
At the Community Foundation of Western Nevada, this is the time many of our donor-advised fundholders submit a list of charities, and in December our grant checks increase significantly, second only to the massive number of scholarship checks we send out each July.
If you’re savvy about taxes, you may recognize the unique opportunity for giving through the Community Foundation. Our most significant gifts are made using appreciated assets including real property or even a percentage of ownership in a real property asset. I am in discussions about a gift from a donor who will be selling their home next year. By gifting a percentage ownership to the Community Foundation before year-end, they will take a significant deduction this year. In 2017 when the home sells, the donated portion of the sale will go into their donor-advised fund at the Community Foundation. Some Community Foundation fund holders work closely with their tax advisors to estimate their current year taxes, and to calculate the amount they should gift to maximize their deduction and bring their actual taxes paid down to the lower brackets. Most of them donate appreciated assets, so they also eliminate any capital gains taxes on their gift.
By combining their income tax deduction with capital gains tax avoidance, you can save close to 50% on your gift. Imagine being able to contribute $1,000 but it only costs you $500 after your deductions and tax savings. If you wonder why so many people use the Community Foundation of Western Nevada for their charitable giving this helps explain why it can be a smart move.
Holiday decorations will soon be pulled from the garage or storage and begin to go up. With all the celebration and rush of the holidays, please consider a quick call to see if the Community Foundation can help you take full advantage of your philanthropy. Now is the best time of year to take a few minutes to find out the options available to you. And, you may save some precious time in December, if we handle the charitable check writing for you.
Please call me at 333-5499 or email email@example.com.
Happy Nevada Day!