By Sister Laura Goedken
When you sell appreciated real estate that you have owned for a number of years, you may be facing a sizable capital gains tax. You will have a double tax savings by making an outright gift of this property. In most cases you will receive a charitable income tax deduction for the full value of the property in addition to eliminating your capital gains tax.
Did you know that you are able to give your home or certain other properties to a charitable interest while retaining the right to enjoy the use of this property for life? In giving this irrevocable gift you are entitled to an immediate federal income tax deduction. Under terms of this gift agreement, you will retain the full rights and duties of ownership, including taxes and upkeep, as you enjoy the benefits of your property.
When deciding to make a charitable gift of real estate, it is important to choose property that meets the necessary criteria. When carefully planned a gift of real estate could benefit you and the charity.
Please contact Sister Laura Goedken, OP at (563) 888-4252 or Goedken@davenportdiocese.org for more information on how to include the Catholic Foundation, a Catholic school or your parish in your estate plans.
(Sr. Goedken is development director for the Diocese of Davenport).