Tips for Year-End Giving:
- Wondering whether to sell depreciated stocks or other securities as a result of the difficult stock market climate this year? Instead of simply absorbing the loss at this time, consider selling them, taking the tax deduction for the loss, and giving the proceeds to charity. The tax benefit from the charitable donation may further offset any other capital gains.
- Instead of taking just the standard deduction on your tax return, consider doubling or tripling your charitable contributions in alternate years. This way, you may be able to deduct enough to itemize every second or third year.
- If you would like to make a contribution and receive a charitable income tax deduction this year, but can't afford to give up the income from a particular asset, consider a life-income gift - a charitable gift annuity or charitable trust. Based on your age and IRS calculations, you could receive income for life for yourself and/or another individual, and receive a charitable income tax deduction as well.
- Be sure donations made via check and credit card donations are received by midnight on December 31 to qualify for tax benefits in 2009.
I encourage you to check the IRS website for updates to charity giving tax laws: www.irs.gov. Please contact your professional tax or financial advisor and attorney to learn how this general information relates to your individual circumstances. Any and all charitable gifts should be made in the legal corporate name of the CDS Foundation, Inc.
Executive Director, CDS Foundation