Gary’s Story: Donating Real Estate to Charity
Gary wasn’t your average donor. He said two things that reveal who he is and how he thinks. “Land — they’re not making more of it!” and “I don’t want to pay taxes when I die.”
These two sentiments aren’t often heard together in a donor discussion, but as a retired contractor who had invested in land development over the years, Gary focused on people, places and things. He was a widower with one adult child, and he was a hard-working individual who could always be counted on to financially support his favourite organizations.
For instance, one of Gary’s charities once received a $1 million challenge grant. Without hesitation, he pledged $100,000. His philanthropic giving was always done quietly and without recognition. When he saw the community’s donations were at $850,000, Gary called to kick in that last $150,000. Of course, everyone wanted to know, “Who was the final donor?” The response was “Anonymous.”
But Gary wasn’t done with his giving. As he described, he had large tax obligations due to his large amount of taxable capital gains. His accountant alerted him to update his will and told him to plan to allocate his assets and look at which organizations might help him reduce his taxes.
At FUNDING matters, we’re familiar with how this can be done thanks to the Power Donor Experience and the GIFTABULATOR. If you’re in a similar situation to Gary, make sure you check out our resources to minimize your taxes.