Securities
When you give securities that have appreciated in value, you may deduct
the full market value as a charitable contribution. Many donors prefer
this approach because they can make a sizable gift without using cash
assets.Real Estate
Gifts of Real Estate may be deducted as a charitable contribution for the
fair market value. Another approach to real estate giving is the gift of
your principal residence, farm or vacation home to the Library Foundation
by deeding the property now and retaining the right to live in the home or
use of the farm for life. This allows a present charitable income tax
deduction and savings on future estate costs. Certain rental properties
may also be given in a tax-wise manner.
Personal Property
Tangible property related to the Library's exempt functions may be
deducted at the fair market value of the property. Examples of such
property include vehicles, computers, copy machines, books, supplies and
certain works of art.
Life Insurance
A fully paid life insurance policy may be deducted as a charitable
contribution for the replacement cost of the policy or the cost basis,
whichever is less. A policy that is not fully paid may be given and a
charitable contribution allowed for the cash surrender value or the cost
basis, if less. Future premiums are deductible when paid. Consult your
insurance or tax advisor for details.
Bequests
Gifts through a will or trust allow a sizable contribution without
reducing the contributor's assets during his or her lifetime, while
possibly helping save estate taxes. A will or trust should be made with
the assistance of your attorney since wills and trusts are important legal documents.
(View
some of the ways to remember the Library Foundation in your will.)
- Testamentary Gifts
- Testamentary Residuary Clause
- Contingent Interest Clause
Life Income Plans
A life-income trust program allows individuals to provide substantial
future support to the Library Foundation, yet retain a lifetime income
from the assets. This arrangement may provide substantial lifetime income
tax benefits and may also increase the donor's current income.
The two specific trusts available are the charitable remainder annuity
trust and the charitable remainder unitrust. In each case, the individual
transfers either cash or property to a trustee. The trustee then agrees to
pay a specified amount to the individual or to his or her designated
beneficiary(ies) for life. He or she may receive income payments based
upon a fixed dollar amount (annuity trust) or may choose a specified
percentage of the total trust assets as valued each year (unitrust).
The contributor does not pay tax on the gift of property and may deduct
from his or her federal income tax the current value of the Foundation's
remainder interest in the trust. The principal of the trust becomes
available to the Foundation following the death of the lifetime
beneficiary(ies) and is used for the purpose provided by the grantor in
the trust instrument. While the Foundation does not benefit immediately
from such gifts in trust, they ultimately play a substantial role in
our mission to the citizens of Greene County.
For more information, contact Michelle Creed, Library Foundation Director,
at 417-883-5366, extension 277, or by e-mail at michellec@mail.sgcl.org.
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