The Nebraska Community Foundation works with community, organizational and donor-advised affiliated funds serving 250 communities located in 80 counties. NCF and its affiliated funds have reinvested $269 million in Nebraska since 1994.
When you plan to make a charitable gift to your hometown, you should consider making a gift of real estate. There are several special incentives to encourage gifts of real estate. These benefits may include:
A person can take an income tax deduction for 100% of the fair market value of real estate held for more than one year. In addition, the capital gains taxes due if the property had been sold are bypassed when the real estate is gifted. The outright gift of the property reduces your taxable estate. The amount of income tax deduction that can be used in any one year is limited to 30% of adjusted gross income. Any excess deduction can be carried forward for up to five additional years. For example, if your adjusted gross income for the year is $100,000, up to $30,000 of an outright gift of real estate given to benefit your hometown or favorite charities is deducted this year. Any amount over $30,000 may be carried forward for up to five additional years.
A gift of real estate is through a bequest in your will provides estate with a 100% charitable deduction for the full fair market value of the property with no limit on the amount.
Setting up a Charitable Remainder Trust is a win-win situation when you no longer want to own real estate, desire lifetime income and want to make a gift to benefit your hometown. Ownership of the real estate is transferred to the trust. The trust then sells the real estate and reinvests the proceeds to provide an income. This type of gift plan provides the following benefits:
Read the story of how former Nebraskan Robert Harm made a gift of ranch land to benefit his hometown of Bloomfield.
More and more farmers are considering gifts of grain to fulfill their charitable intentions.
When a farmer delivers grain to market and transfers ownership to a charity, they get greater tax savings than if they sell the commodity and then write a check from the proceeds.
The Nebraska Community Foundation makes it easy for ag producers to make charitable donations.Read more →