Charitable Remainder Trusts
Donors can increase the return on their investment while maintaining control over their assets by establishing a charitable remainder trust (CRT). There are two types of CRT, an annuity trust which pays a fixed amount each year (maybe preferable for donors giving highly appreciated assets), and an unitrust which pays a fixed percentage of the trust's assets as revalued each year (which may provide a hedge against inflation).
You receive an income tax deduction in the year you create the trust based on table established by the US Treasury Department. Also, the CRT pays no gain on the sale of the donated securities. However, a portion of the income from the trust may be taxed as capital gains.
For more information or illustrations please contact Michael House, Interim Director of Advancement at 419-381-1313 x117.