Benefits to Donors
FOR DONORS
1
Reduce Taxes
- Eliminates Taxes on Capital Gains
- Eliminates Taxes on Depreciation Recapture
- Provides a Tax Deduction Against AGI at Current Appraised Value
- Reduces Estate Taxes
2
Reduce Costs
- Eliminates All Transaction Costs, Except for Cost of an Appraisal
- RGF Funds Everything (Reimbursed from Proceeds of Sale)
3
Receive a Partial Cash Payment (see “Bargain Sale”)
- To Eliminate Debt
- To Customize the Gift Value
- For Personal Use
4
Simplify Estate
- Offloads a Difficult Liquidation to a Third Party - (“Please… Take This Off My Hands”)
- Eliminates Complex Asset (“I Don’t Want My Heirs to be Burdened by This”)
- Preserves Liquid Assets (“For My Retirement, and for My Heirs”)
5
Enhance Tax Planning
- Allows Estate Planning to Project Through 5 Future Tax Periods
6
Make an Impact
- Create a Legacy Gift
- Create a Donor Advised Fund
7
Perpetuate the Underlying Meaning of a Property by Converting its Future Purpose
- Convert a Memorable Asset to a DAF that Provides Donor and Heirs Future Participation in Grants Made from the Property’s Sale Value
8
Create Significant “Charitable Leverage”
- Outright Gifts often create a “Total Cash Benefit”, shared between the donor and the benefitting nonprofit, far in excess of the property’s market value.