How to take Advantage of the Tax Benefits for 2007

With 2007 drawing quickly to a close, there is still time to make charitable donations - even if you don’t know to which cause or organization you want to donate.

Individuals can give significant amounts of cash, securities or hard-to-value asset donations and take advantage of the tax benefits for 2007 by opening a donor advised fund through the Greater Houston Community Foundation and decide later where to direct those funds.

This is a great option for people who have not had time to research and decide where they want to give their money.

For your information, the GHCF is a collection of funds established by individuals, families, corporations and nonprofit agencies to enhance the quality of life in the Houston area. These funds are pooled and, with professional money management, invested by a board of directors comprised of community leaders. Funds may be distributed as grants by the community foundation on the recommendation of donors and subject to the approval of the board. Like its 650+ national counterparts, the Greater Houston Community Foundation is a fully tax-exempt public charity formed to serve a wide range of donors concerned about quality-of-life issues, locally and nationally.

MORE FOOD FOR THOUGHT
Planning for Holiday or Year-End Giving
Annual giving reaches a peak in the fourth quarter as people make final decisions on where to give. Do people give more at holiday time or at the end of the year? Why do they wait so long? Is this a wise way to give; or does it matter?

GHCF can talk about the top causes that Houstonians donated to this year. They can talk about the current environment of giving as well as last-minute strategies for giving to maximize tax benefits. This also could touch on planning for giving in 2008.

What People Give
Philanthropy isn’t just about giving money. Donors are giving stock and other assets like stocks and bonds. In fact, according to the GHCF, someone even gave a plane. The asset had depreciated to such a point that he could sell it for only a fraction of what he paid. Instead of paying the 35% difference between depreciated value and market value, he donated the plane as gift, opened a fund, sold the plan and made a grant to his church. There are other unusual things people give, such as land and homes.