Renaissance

Naming a CRT as an IRA beneficiary can reduce income and estate taxes, while benefiting a third person.

In this case study, donors fund a charitable remainder unitrust with a portion of the remainder they receive from a testamentary charitable lead annuity trust.

Donors contribute appreciated stock to a charitable remainder annuity trust to reduce capital gain taxes, create an income tax deduction, increase their cash flow, and make gifts to their favorite charities.

A CRT allows diversification of assets and deferral of gain for company stock distributed from a profit sharing plan.

A flip CRUT accommodates a delayed sale of contributed assets, and provides benefits to donors and charity.

This case study illustrates the use of a CRT to defer gain on the sale of depreciated rental property.

Naming a CRT as an IRA beneficiary can provide an income stream for heirs, and may be one of the few ways to "stretch" the payout from an IRA over a beneficiary's life expectancy.

Donors fund a charitable remainder trust with highly appreciated commercial real estate to reduce their capital gain tax liability, avoid estate taxes, obtain an income tax deduction, receive cash flow for life, and create a lasting legacy to benefit the residents in their hometown.

Donor contributes appreciated stock to a SCRUT to increase her future cash flow, further defer capital gain taxes, create an income tax deduction, and remove the stock from her taxable estate.

A taxpayer uses a CRT to provide an income stream to a spouse as part of a divorce settlement, avoids capital gains tax, receives an income tax deduction, and controls the disposition of assets to the charity of his choice.

A Flip-CRUT allows the donor to remove the stock from her taxable estate, create an income tax deduction, and increase her future cash flow.

This case study illustrates the use of a CRT to make a charitable gift, while diversifying an investment portfolio, deferring gains, and increasing cash flow.

Donors transfer a life insurance policy to a charitable remainder unitrust and avoid income tax on the surrender of the policy. They are also able to obtain a current income tax charitable deduction, increase their retirement cash flow, and create a lasting legacy to support the treatment of brain tumors.

Contributing low basis stock from an incentive stock option plan to a charitable remainder trust defers recognition of capital gain.

This case study illustrates the use of a CRT to defer gain on the sale of qualified replacement property acquired with proceeds of an employee stock ownership plan.

A Flip CRUT allows donor to diversify assets, avoid capital gains tax, and defer the income stream.

By contributing a partial interest in appreciated rental real estate to a charity and then selling the balance of the property, donors increase their income stream for retirement and generate an income tax deduction to offset the capital gains tax on the sale.

Contributing stock to a Flip Unitrust prior to a merger saves donors immediate capital gain taxes, provides an income tax charitable deduction, and increases future retirement income.

Donor transfers stock portfolio to a SCRUT, which will provide cash flow for the donor as well as her sibling if she survives the donor.

By transferring highly appreciated assets to a NIMCRUT, which sells these assets and reinvests primarily in variable annuities, taxpayers are able to increase their lifetime cash flow while postponing the distributions of income until it is actually needed. The taxpayers can also receive a currrent income tax deduction for the present value of the remainder interest, defer capital gains tax, and make gifts to charities.

CRT can be a tax-efficient way to dispose of partnership interest while making a charitable gift.

If other assets are available to fund non-charitable bequests, giving an IRA to charity avoids income tax to beneficiaries.

By establishing a NIMCRUT, a donor is able to give to charity, avoid capital gains on the sale of his business, and provide for retirement income.

A partnership contributes appreciated real estate to a 20-year CRT to defer taxation of the gain on the sale of the property, receiving current income tax deductions and a unitrust income interest for the CRT term, while removing assets from each partner's taxable estate.

Donation of life insurance policy to charity yields income tax savings to donors.