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Charitable Remainder Trust: What to use as the gift amount?

  • 1.  Charitable Remainder Trust: What to use as the gift amount?

    Posted 25 days ago
    Hi All,

    I am in the process of booking a planned gift into RE (the proceeds from the sale of a piece of property is being used to fund the CRT) and I am wondering about the gift amount. Do I use the appraisal value as the gift amount or the value used to fund the trust from the Crescendo Proposal as the gift amount? 

    Thanks for your help!

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    Cherise Dwyer
    cdwyer@POINTLOMA.EDU
    ------------------------------


  • 2.  RE: Charitable Remainder Trust: What to use as the gift amount?

    Posted 25 days ago
    This depends on what is being given to you.  The real estate, or the proceeds?  I get that you will use the proceeds to fund the CRT, but are you being first given the property to fund the CRT?

    If so, then the property's appraised value is what you would record as the "face value" for the gift.  However, you will also want to record the IRS deduction value as you need to report both figures in the VSE.

    John

    John H. Taylor
    Principal
    John H. Taylor Consulting, LLC
    2604 Sevier St.
    Durham, NC   27705
    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987






  • 3.  RE: Charitable Remainder Trust: What to use as the gift amount?

    Posted 24 days ago
    Hi John,

    Thanks for your response! 

    We are not being given the property first. We are waiting for it to sell and then we will receive the proceeds from the sale of the property.

    ------------------------------
    Cherise Dwyer
    cdwyer@POINTLOMA.EDU
    ------------------------------