Minnesota Charitable Trust Planning Attorney
It is possible to donate to charities while helping your family avoid estate taxes. At Roulet Law Firm, we are here to help you with charitable trust planning.
Give to Others and Your Family
You can establish your foundation during your lifetime or it can be set up after you die. A small percentage of the trust's assets would be distributed to charity each year. You can name whomever you wish to run the foundation, including your children, and the foundation can pay them a reasonable salary. You can be very specific about which charities you want to support or you can leave that up to the trustees of the foundation, in accordance with IRS guidelines.
We can tell you much more about charitable trust planning during your free initial consultation.
Your Foundation's Tax Benefits
Tax benefits of setting up your own foundation can be substantial. For one, you may be able to save significantly on estate, capital gains, and income taxes.
Plus, the assets you give to the foundation will be removed from your taxable estate. If you give your entire estate to the foundation or the entire amount over the estate tax exemption, your estate will pay no estate taxes.
A third advantage is that there will be no capital gains tax when the assets are sold by the foundation. It's a great situation for appreciated assets.
Finally, if you donate publicly traded securities to a private foundation, you can receive a charitable income tax deduction for their full fair market value, up to 30% of your adjusted gross income. The deduction is less than the 50% limit for standard charitable contributions because this is a private charitable foundation.