Funds can be started or established with cash gifts.Securities: A gift of appreciated securities may be deducted at full fair market value while avoiding capitol gains tax.
Remembering the community in one's will can be an important way to reduce estate taxes. A donor may leave a share of an estate or a specific dollar amount.
Gifts of real estate may include homes, condominiums, apartments, undeveloped land, farmland or rental property.
A donor assigns the policy and beneficiary rights to the Jennings County Community Foundation. The charitable tax deduction will be for the present cash value of the policy. If the donor continues to pay annual premiums, these too are tax deductible.
The IRA that helps a donor and spouse face retirement years will be reduced greatly by income and estate taxes before it reaches the assigned heirs. By naming the Community Foundation as the contingent plan beneficiary, all of the assets will be used to benefit the Jennings County Community.
If the donor is the beneficiary of a trust that pays regular income, a portion of this income may be assigned to the Community Foundation. The donor pays no further tax on this income and may take an income tax deduction for the value of the assignment.
A donor places assets in a trust and receives income for life or designates a spouse, children or any other to receive the income. The donor receives a charitable deduction, avoids capitol gains tax and removes the asset from his or her taxable estate. The asset eventually passes to a named fund of the Jennings County Community Foundation.
This trust pays income to the Community Foundation for a specified number of years. The principal is then given to designated beneficiaries. This removes assets from the donor's estate and gifts the assets to their heirs. The donor pays no income or capitol gains taxes on this asset during the period of control by the Foundation.
A donor may contribute a home or farm but retain the right to live in it for life.After the lifetime, the property's value will be used to establish a fund with the Jennings County Community Foundation. The donor receives an income tax deduction, avoids capitol gains tax and exempts the property from estate taxes.
Gifts may take the form of cash, bequests, life insurance, private foundation transfers, life income, trusts, and appreciated property such as stocks, bonds, real and personal property.
The Federal Tax Code provides significant incentives for contributions to a community foundation. Gifts of cash during the donor's lifetime may be deducted in an amount equal to 50% g of adjusted gross income. If the available deduction exceeds the maximum limit in any one year, the excess may be carried over and deducted for up to 5 succeeding tax years. Donors may also deduct the full, fair retail market value of gifts of appreciated property such as stocks and bonds, real estate or personal property up to 30% of adjusted gross income. Of course, individual cases will vary and donors are advised to seek the counsel of their attorney or financial advisor to determine which is best for your individual situation.
All funds are invested and professionally managed to ensure adequate growth of principal to keep pace with inflation and ensure the perpetuity of gifts. Under no circumstances are historic dollars infringed upon. Charitable distributions are overseen by the Board of Directors of the Community Foundation, which is comprised of local community leaders from all corners, and walks of life of Jennings County. The Community Foundation serves as a public trust and as such will make all endowment records available to the responsible representative of record upon request.
It is extremely easy to create an endowment fund! The necessary paperwork is straightforward and can be completed quickly. The staff of the Jennings County Community Foundation is always available to assist you. Our resources are available to you without cost or obligation..
Currently, our guidelines require a minimum of $2500 to create an endowment fund, however, you may begin a fund with an initial donation in any amount and you have 2 years to bring your total to the minimum $2500. Funds may be added to at any time, in any amount. Many individuals make donations in honor of anniversaries, birthdays, or other significant event or special occasions.
While the Jennings County Community Foundation can and will be helpful in advising donors about making gifts, we strongly encourage and recommend that our donors work with their professional advisors to determine the strategies that are the most advantageous and appropriate to the individual circumstances and the desires of the legacy of the donor.
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111 North State Street, North Vernon, IN 47265