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The community foundation can
provide strategic opportunities as you consider the best charitable
fund program for you.
Benefits can include a substantial tax deduction and other forms of
reduced taxes, lifetime income, income for a set period of time, or
appreciated assets passed on to your heirs at a low tax basis.
We encourage you to discuss them with your accountant, attorney
and other advisors.
Examples of strategic gifts
that provide a benefit to you and your favorite charity are charitable
gift annuities, charitable remainder trusts, retained life estates,
and charitable lead trusts.
Charitable Gift Annuities provide tax benefits and income
to the donor. It is a
simple contract between the community foundation and donor.
In exchange for cash, stock or other appreciated property, the
foundation agrees to pay lifetime income, based on actuarial tables.
Payments can be made on a quarterly or annual basis.
The donor receives tax benefits, including an immediate tax
deduction. Upon the death
of the donor or spouse, the remainder goes to an endowment fund
created by the donor.
Charitable gift annuities are attractive to people because they are
easy to understand, simple to create and especially attractive to
people living on fixed incomes in their later years.
Charitable Remainder Trusts
are created when cash,
securities or real estate is transferred to a trust created by the
donor. The trust then
pays the donor (or designee) an income for life or for a limited
number of years. The
remainder is then distributed after death or after a set term to the
charitable purposes established by the donor.
Through a gift of a
Retained
Life Estate, a donor can
contribute a residence, farm, or land to the Community Foundation with
a retained life estate. Donors are able to continue using the property
throughout their lifetimes while receiving a tax deduction based on
the property’s value. This gift would also lower estate taxes since
the property is no longer a part of the donor’s estate.
Charitable Lead Trusts
create an opportunity for donors to
pass appreciated assets to heirs with substantial estate and gift tax
savings. The donor
realizes these tax benefits by giving the Community Foundation the
beneficial interest of the income for a determined period of time.
Then the heirs receive the appreciated assets with no
additional capital gain tax liability because taxes were paid at a
lower basis at the creation of the trust.
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Chillicothe-Ross Community Foundation
45 E Main Street
Chillicothe, OH 45601
Scott Graham
740-774-GIFT (4438) |
