The Pentera Blog
Ask the Experts - Deferred-gift-annuity income will be taxed depending on how gift is given?
Dear André,
When a charitable remainder trust is collapsed and the assets are transferred to our institution, we will take the life-income interest and set up a deferred joint-life gift annuity. Given that the assets are coming from a charitable vehicle, is there any difference in how the deferred-gift-annuity income will be taxed to the donor if the assets arrive in cash or in kind (marketable securities)?
Thanks,
Amy
Dear Amy,
It is all a capital asset with a zero basis.
André
