You may be concerned about the high cost of capital gains tax with the sale of an appreciated asset. Perhaps you recently sold property and are looking for a way to save on taxes this year and plan for retirement. Or, you may be interested in a tax-free sale of your ag commodities, equipment or collectibles. A charitable remainder unitrust might offer the solutions you need!
Benefits of a Charitable Remainder Unitrust
- Leave a lasting legacy with your gift
- Receive income for life, for a term of up to 20 years or life plus a term of up to 20 years
- Avoid capital gains on the sale of your appreciated assets
- You may receive an immediate charitable income tax deduction for the charitable portion of the trust
How a Charitable Remainder Unitrust Works
- You transfer cash or assets to fund a charitable remainder unitrust.
- In the case of a trust funded with assets other than cash, the trust will then sell the assets tax-free.
- The trust is invested to pay income to you or any other trust beneficiaries you select based on a life, lives, a term of up to 20 years or a life plus a term of up to 20 years.
- You may receive an income tax deduction in the year you transfer assets to the trust.
- The Community Foundation or an affiliated fund benefits from what remains in the trust after all the trust payments have been made.
If you have any questions about a charitable remainder unitrust, please contact us. We would be happy to assist you and answer any questions you might have.