Real Estate Donations
Give Business Interests and Real Property
FFTC works with donors to make an impact through gifts of privately held assets, allowing you to leverage significant tax benefits while retaining control of your business.
We offer effective solutions for accepting gifts of business interests, such as private stock or income-producing real estate, as well as gifts of real property.
Benefits of Giving Before Sale
- Maximize income tax deduction
- Reduce or eliminate capital gains tax, creating more charitable impact
- Remove assets from your estate
- Leverage a single gift to achieve a range of charitable goals
Gifts of Business Interests
By gifting interests in LLCs, limited partnerships or closely held corporations to FFTC’s subsidiary Community Investments Foundation, you can support the causes you value and reduce your tax liability, all while retaining control of your business. We will hold the business interests, working in partnership with you and your advisors on flexible liquidation timelines to maximize your philanthropic impact. Net proceeds will be transferred to a new or established FFTC fund (e.g., donor advised fund).
- Maximize income tax deduction equal to fair market value of the gift, up to 30% of your adjusted gross income
- Reduce or avoid income taxes attributable to the gifted portion
- Reduce or eliminate capital gains tax by gifting before sale, creating more charitable impact from your gift
- Remove these assets from your estate, reducing potential tax liability
- Create business continuity opportunities for your company
- Leverage a single gift to achieve a range of charitable goals from your new or existing FFTC fund
We hold the gifted asset while you maintain management oversight. We work in partnership with you, your company and your advisors to allow you to amplify your investments in business and philanthropy. You have built a successful business. Let us help you build a stronger community.
1. Due Diligence and Gift Acceptance
- Donor submits Due Diligence Form to FFTC
- Due diligence process completed by FFTC; donor obtains qualified appraisal
- Donor makes gift to an FFTC Designated Fund within Community Investments Foundation, an FFTC subsidiary
- Donor receives income tax deduction equal to fair market value of property, up to 30% of adjusted gross income (note: For S corp., special rules may limit charitable deduction)
2. Gift Held and Liquidated
- During holding period, no payout is required from FFTC Designated Fund
- FFTC structure mitigates state and federal tax liability on gifted portion; should avoid private foundation excise taxes
- FFTC works with donor to provide flexible timelines for liquidation
- FFTC team works in partnership with donor on liquidation plans
- Capital gains reduced or avoided at time of sale or liquidation
3. Community Impact
- Net proceeds from liquidation are transferred to new or existing fund at FFTC
- Recommend grants to any qualified U.S. public charity
Contact our team to get started. The first step is to complete the Due Diligence Form. Community Investments Foundation accepts gifts of business interests with an appraised value of $250,000 or more.
Information provided is general in nature. It is not intended to be, and should not be construed as, legal or tax advice. Foundation For The Carolinas does not provide legal or tax advice.
When you donate real property, such as a personal residence, commercial property or vacant land, to FFTC’s subsidiary Community Real Property Holdings, Inc., the property will be sold and the net proceeds will be transferred to a new or established FFTC Fund (e.g. donor advised fund).
- Maximize income tax deduction equal to fair market value of the gift, up to 30% of your adjusted gross income
- Reduce or eliminate capital gains tax by gifting before sale, creating more charitable impact from your gift
- Remove these assets from your estate, reducing potential tax liability
- Leverage a single gift to achieve a range of charitable goals from your new or existing FFTC Fund
We handle the administration and management of the gifted property. We work in partnership with you and your advisors to maximize the sale of your donated property, so your real estate can make a real impact in your community.
1. Due Diligence and Gift Acceptance
- Donor submits Due Diligence Form to FFTC
- Due diligence process completed by FFTC; donor obtains qualified appraisal
- Donor makes gift to an FFTC Designated Fund within Community Real Property Holdings, an FFTC subsidiary
- Donor receives income tax deduction equal to fair market value of property, up to 30% of adjusted gross income
2. Gift Held and Liquidated
- During holding period, no payout is required from FFTC Designated Fund
- FFTC team works in partnership with donor and advisors to maximize sale of donated property
- Capital gains taxes reduced or avoided at time of sale
3. Community Impact
- Net proceeds from sale are transferred to a new or existing fund at FFTC
- Recommend grants to any qualified U.S. public charity
Contact our team to get started. The first step is to complete the Due Diligence Form. Community Real Property Holdings Inc. accepts gifts of real property with an appraised value of $250,000 or more.
Information provided is general in nature. It is not intended to be, and should not be construed as, legal or tax advice. Foundation For The Carolinas does not provide legal or tax advice.
Ways To Give
