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According to the IRS, qualified organizations include nonprofit groups that are religious, charitable, educational, scientific, or literary in purpose or that work to prevent cruelty to children or animals. At the end of the period, the remaining assets are distributed to your family or other beneficiaries, free of estate and gift taxes.
Higher Capital Gains Tax Rate: Long-term gains from collectibles are taxed at 28%, higher than the maximum 20% rate for stocks and real estate. Charitable Donations: Donating collectibles to a qualified nonprofit can provide tax deductions based on fair market value. How can I reduce taxes on my alternative investments?
Although sophisticated tech solutions have been slower to reach the nonprofit world than some other sectors, their arrival was inevitable. Today, they can help make charitable giving a simpler and more effective component of your financial plan. Plus transparency can help nonprofits operate better. Philanthropy is no exception.
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