Generally, as mentioned in a previous post, donors of the “use of property” to a charity do NOT receive a charitable deduction (under the partial interest rule), similar to donations of an individual’s time and other services. What I discovered on behalf of a pro-bono client last week was that there is a simple, legitimate...
I just spent the morning trying to formulate a short, plain language NYPMIFA disclosure statement for a proposed endowment gift pledge form. If you have been following the NY nonprofit community’s trauma in dealing with NY’s unique UPMIFA law, one of the vaguest and challenging requirements is this disclosure thing on all solicitations involving permanent...
New York charities, eat your heart out. Take a look at NJ’s version of UPMIFA: NJ UPMIFA. I have been writing about NYPMIFA, NY’s version, for months and finally took a look at my home state’s version for a former client. Wow. I can’t believe these are supposed to be essentially the same “Uniform” statutes....
Yesterday’s question of the day: donor is letting charity use space rent free. Can he take a charitable deduction? Answer: no. Partial interest rule problems here. Generally, unless you give an undivided ownership interest in something, you aren’t entitled to a deduction. Some exceptions to this rule but not here. Of course, the nonprofit has...
Among all of the variables created by the Tax Relief Act of 2010, one yet to be addressed in this blog is a much improved environment for Charitable Lead Trusts. Normally, I cringe at hearing anyone tout Lead Trusts. Not that I don’t love them – who wouldn’t in the nonprofit world since they are...