Tips for Tax
Savvy Giving
The Community Foundation offers several vehicles to help your client create impactful charitable giving and realize their philanthropic goals
Ways To Give
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A simple, convenient, and effective way for your client to make philanthropic contributions with a single gift.
Setting up a charitable giving fund is easy, rewarding, and doesn’t require great wealth. Creating a fund at The Community Foundation allows your client the opportunity to organize philanthropic activities through one expertly-managed and cost-effective charitable vehicle.
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Working with The Community Foundation as a supporting organization is a great alternative to starting a private foundation. We can work with your client to hire staff, convene a board to control investments and grantmaking – plus we’ll handle all the administrative oversight.
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Many families with private foundations find it useful to also have a donor-advised fund to diversify their giving vehicles and maximize the tax benefits of their philanthropy.
Alternatively, your clients may wish to convert a private foundation into a component fund within The Community Foundation. This enables your client to retain the name and purpose of the private foundation while also taking advantage of the tax benefits.
How Our DAF’s Compare to Private Foundations and Supporting Organizations
Types of Gifts We Can Accept
The Community Foundation can accept many forms of simple, complex, or deferred gifts, such as:
Liquid Assets
Cash, credit card, or publicly traded securities can easily be used to add philanthropic resources to a fund. A gift of appreciated securities provides your client with an immediate charitable deduction for the full market value while avoiding capital gains taxes typically due upon sale, which is a dual benefit for your clients.
Legacy Gifts
Your client can make a gift to The Community Foundation through a bequest in a will or trust, beneficiary designation for retirement assets (IRA, 401K, 403B) or life insurance policies, or charitable remainder trust.
To discuss planned giving options, please contact Tiffanie Purvis at 202-955-5890 ext 111 or tpurvis@thecommunityfoundation.org
IRA Charitable Rollover
If your client is 70 ó and older, they can direct up to $100,000 from a traditional IRA to charity and have it count towards their Required Minimum Distribution. Traditional IRA funds are not subject to income tax when given directly to a charity. However, IRA Charitable gifts may NOT be given to a donor-advised fund. You may give to other types of funds at The Community Foundation or to unrestricted funds. Check with our team to learn how to direct a rollover gift to a fund at The Community Foundation.
Complex Assets
We accept gifts of closely held stocks, bonds, mutual funds, real estate, life insurance, or other real assets. Contact us to explore your options.
If your client is 70.5 or older, an IRA charitable rollover (QCD) allows them to make a tax-free transfer of up to $105,000 each year directly to certain types of funds (but not to a DAF) at The Community Foundation without taking the distribution as taxable income. Call us about the other fund options that can accept QCDs.
Private Foundation Assets
Your clients existing private foundation can be converted into a fund within The Community Foundation. Your client retains the name and purpose of the private foundation while alleviating the administrative and compliance burdens.
Cryptocurrency
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