Types of Gifts

This page outlines several ways of giving to the Community Foundation of Portage and District. We invite you to review the suggestions and consider those that best suit your situation.

Present Gifts:

Gifts of Cash
A gift of cash is the easiest and simplest way to give. You receive an official tax receipt for the full amount for income tax purposes and have the immediate satisfaction of seeing your gift at work.

Gifts of Publicly Traded Securities
With a gift of stocks or bonds, you will receive a tax receipt for their fair market value and tax credits help offset any tax on capital gains.

Gift of Real Estate
A gift of real estate will result in a donation receipt for fair market value of the property. Even if not your principal residence, the gift will help to offset tax on any capital gain through tax credits.

Gift of Life Insurance
A gift of life insurance can be a large gift at a modest cost. If you designate the Community Foundation of Portage and District the owner and beneficiary of a life insurance policy, you will receive a donation receipt for the policy’s cash value, as well as for any future premiums. Because the charity is the beneficiary rather than your estate, the proceeds are not subject to probate.

Gift of Other Property
Other Assets, such as shares in privately held companies, debentures, royalty interest or works of art can be given to the Foundation. Donation receipts will be issued for fair market value of the gift after sale of the item. Tax credits can help to offset taxes on related capital gains.

Deferred Gifts:

A Bequest
A gift by Will is the simplest and most common form of deferred gift. You retain full control over your assets during your lifetime and your estate receives a donation receipt. Bequests can be cash, securities, real estate, or other property. Tax credits can help to offset taxes on related capital gains in your estate.

Gifts of Life Insurance
If the Community Foundation of Portage and District is the beneficiary but not the owner of a life insurance policy, you can provide a future gift while retaining full control of the policy. You can structure the terms of your Will so that the proceeds of the policy will result in a tax credit for your estate. The proceeds are not subject to probate as the charity is the beneficiary.

Gift of Residual Interest
This type of gift can include real estate or works of art, and involves an irrevocable future gift. You can retain the use of the property for life, receive a donation receipt for the present value of the gift, and the gift is not subject to probate. It is also possible to offset tax on capital gains.

Charitable Remainder Trust
When you set up a charitable remainder trust you are giving the trees but keeping the apples. You make an irrevocable gift of principal, from which you receive the net income for life. You receive a donation receipt for the present value of your gift and avoid probate on this portion of your estate. Tax credits help to offset tax on any associated capital gain.

The Information in this website is general and should not be relied upon as a substitute for professional advice. Please Contact your tax advisor.