Retirement income, tax savings, use of property

Tax Savings

When you give appreciated property to the Foundation, you receive an income tax deduction for the current full market value. You will not have to pay capital gains taxes on the appreciation since it is a gift, not a sale. Finally, by donating your property, you remove it from your estate, thereby, reducing or even eliminating estate taxes.

If your property has decreased in value, you can still receive tax benefits, but you will need to use a different strategy. Instead of donating the property, sell it first, and then donate the proceeds. You will be entitled to a capital loss deduction on the sale and income tax deduction for your cash contribution.

Increase Retirement Income

You can also use your real estate to create a new stream of income. Instead of giving it outright to the Foundation, give it to a charitable remainder trust. The trust then sells the property and invests the proceeds on your behalf.

You will receive income from the trust for the rest of your life. After your life, the remainder goes to support the program, department, or service of your choice.

With this technique, you relinquish ownership of the property, but retain control over a new lifetime income. You still avoid triggering the capital gains tax, reduce estate taxes, and enjoy an income tax deduction.

Legacy Society

• Membership benefits and recognition.


• Join the Legacy Society with my gift.

Personal Assistance

Barbara Lowe, Senior Gift Planning Officer
415-600-2769
loweb@sutterhealth.org