The Priests of the Sacred Heart continue to move forward with their important work. Congress recently enacted several tax law changes in response to the COVID-19 outbreak. Shown below are ideas and resources to help you with your tax planning. Please consider making a gift in support of our mission during this time.
This recently passed law includes several charitable tax provisions to encourage giving. These include:
If you have a Donor Advised Fund (DAF) and wish to help us this year, you can make a gift from your DAF to support our work without affecting your personal financial security.
If you are concerned about your financial security given the ups and downs of the stock market, you may want to consider making a gift to fund a charitable gift annuity. You might be surprised by the benefits. You can exchange your low-performing stock, CDs or cash for guaranteed, lifetime fixed payments. If you make a gift of an appreciated asset, you will not have to pay capital gains when you fund the annuity. You may also benefit from a tax deduction this year and a portion of your payments could be tax-free.
In December, Congress passed the SECURE Act, limiting stretch payments to IRA beneficiaries to 10 years. If you planned to benefit your children with your IRA, your heirs will now pay higher taxes on the inheritance they receive from you. When you revisit your estate plan, consider funding a testamentary charitable remainder unitrust with your IRA balance. This plan can provide lifetime payments to your heirs and spread out the taxes on their inheritance.
If you are interested in learning more about any of these ideas, please contact us. Please also let us know how we can help you during this time.