Private equity funds often incur significant value over time, and may face taxable distribution. For philanthropically minded clients, illiquid assets such as these that have appreciated in value can be among the most tax-advantaged items to contribute to charity.
Clients can donate appreciated, non-cash assets to charity as a more efficient, tax smart way to make charitable contributions. Your senior executive and/or entrepreneur clients may find that their most appreciated assets come in the form of illiquid assets, such as privately held C- and S-Corp stock...
Contributing non-cash assets to charity can be a smarter way for clients to support the causes they care about. In addition to publicly traded stock, IPO shares and restricted stock, clients can donate real estate assets to charity to maximize their philanthropic impact and minimize taxes.
For charitably-inclined clients who are business executives or investors, investment assets that have appreciated in value can be among the most tax-advantaged items to give to charity.
For advisors with philanthropically-minded clients, publicly traded appreciated stock can be among the most tax-advantaged items to donate to charity. Contributing such assets may enable the donor to enjoy a current year tax deduction and potentially eliminate capital gains tax liability on the sale of the asset, while allowing the charities they support to receive the most money possible.
What might a stock holding, a piece of real estate, shares in a privately held company, interests in private equity, venture or hedge funds, and fine art or collectibles have in common? Whether purchased for love or investment purposes, they can help your clients realize the maximum tax benefits from their charitable giving.