Tax
Benefits
Save taxes
in four ways
1) Contributions
are tax deductible in the year they are made. Because AEF is a public
charity, contributions qualify for immediate and maximum tax benefits.
- Deduction
for cash: Up to 50% of adjusted gross income (AGI).
- Deduction
for securities and other appreciated assets: Up to 30% of AGI.
- Five year
carry forward of unused deductions.
2) Avoid
capital gains on gifts of appreciated property.
3) Avoid
estate taxes.
4) Investments
in a Donor Advised Fund can grow tax free.
Other
tax considerations
When contributing
the following asset types to AEF, donors can deduct the full market value
of the asset subject to the AGI limitations mentioned above. If contributed
to private foundations, the donor's deduction would likely be limited
to cost basis.
Note:
The information provided herein is for informational purposes only and
should not be interpreted to constitute legal and/or tax advice. Donors
should consult their legal and tax advisors regarding their specific situations.
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