With the holiday season approaching, and with the great need for aid in the wake of the recent hurricanes and wildfires, you no doubt are being solicited for donations. However, do not be fooled by the scammers who come out from hiding whenever there is a disaster and during the holiday season. The last thing you want to do is get ripped off; not only will your charitable dollars go to waste, but you will also lose your tax deduction, as contributions are only tax-deductible if they are to qualified charities.
Article by Jeff Brown | Featured on CNBC.com
For most people, giving to charity is simply a matter of goodwill and generosity. But there are tax benefits, and they can be significant. Knowing how to get a tax deduction can allow you to give even more.
But you’ve got to follow the rules. And as with so many tax matters, common sense is not good enough.
Boston Consulting Group senior partner Ron L. Nicol approaches financial decisions with the thoroughness and precision demanded of the nuclear submarine officer he was for seven years after graduating from the Naval Academy. So believe him when he says this is an excellent time to execute a high-end maneuver known as a charitable lead annuity trust, or CLAT. Read more