We are hearing from more and more attorneys, accountants, and financial advisors that your clients are expressing interest in giving real estate to charity. This is wonderful news!
Gifts of real estate to a fund at the Community Foundation, just like gifts of other long-term capital assets, can be extremely tax-efficient. That’s because your client is typically eligible for a charitable deduction based on the fair market value of the property. Because the Community Foundation is a public charity, when it sells the donated property, the proceeds will flow into the fund free from capital gains tax.
To achieve the best tax outcome and overall charitable result, though, it is critical to work with the team at the Community Foundation to structure a donor-advised or other type of fund to receive the asset, if your client does not already have a fund in place.
Gifts of real estate can be a wonderful tool for both your client and the organizations they want to support through their fund at the Community Foundation. Click here to read how Cathy Wettlaufer, Esq., Partner at Barclay Damon, has partnered with the Community Foundation in this way to help her clients achieve their charitable goals.
Our team can help you through the process, every step of the way. To learn more, contact Megan Sommerfeldt, Director of Gift Planning, at megans@cfgb.org.