Peter and Gail were nearing retirement. Over the years, with the help of their financial advisor, they made solid investments in securities and built a sizable portfolio. While their investments increased substantially in value, their potential capital gains tax bill was rising. Now with retirement on the horizon, they were looking for a way to sell their highly appreciated stock, generate income for their future and avoid paying high capital gains tax.
Peter: For many years we had supported the work of our favorite charity. Through an e-mail we learned that we could make a gift of our appreciated stock to charity and bypass the potential capital gains tax cost we were facing. I was thrilled to learn that after transferring our portfolio to a charitable remainder trust, the trust would sell the stock tax free.
Gail: I liked the fact that the trust would provide us with income for our retirement years. If something happened to Peter, I would still be taken care of for the remainder of my life.
Peter and Gail decided to make a gift of their appreciated stock to establish a charitable remainder unitrust. They were thrilled at the prospect of creating future income while bypassing capital gains tax.
Peter: When I heard that in addition to the other benefits we would receive a charitable deduction for our gift, it was just icing on the cake! I wondered why everyone nearing retirement doesn’t set up a charitable trust.
*Please note: The name and image above is representative of a typical donor and may or may not be an actual donor to our organization. Published by the United Methodist Foundation of the Memphis and Tennessee Conferences
Through our relationship with the United Methodist Foundation for the Memphis and Tennessee Conferences, and other similar entities, we can assist you in by passing long-term capital gains taxation.
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Paul B. Plant, Esq., Harwell & Plant
225 Mahr Ave., Lawrenceburg, TN, 38464
harwellplant@harwellplant.com | 931-762-7528
Open: Monday – Thursday 9AM – 5PM | Friday 9AM – 3PM
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