Gifts That Reduce Your Taxes


Gifts That Reduce Your TaxesYou can reduce your taxes and keep the small business spirit alive in America when you make a legacy gift for SCORE through The SCORE Foundation.

Retirement Plan Gift:

You can reduce your taxes by naming The SCORE Foundation as a beneficiary of your retirement plan. A full 60 to 70% of your retirement assets may be taxed if you leave them to your heirs. Instead, you can leave your heirs assets like real estate and stock, and use retirement assets to create your legacy gift for The SCORE Foundation, which is not taxed when receiving retirement assets.

Benefits:

  • Avoid potential estate tax on retirement assets.
  • Avoid income tax for your heirs on retirement assets funded on a pre-tax basis.
  • Receive potential estate tax savings from an estate tax deduction.

To name The SCORE Foundation as a beneficiary of your retirement plan, contact your bank or insurance company to see whether a change of beneficiary form must be completed.

Life Insurance Plan Gift:

If you have a life insurance policy that has outlasted its original purpose, you can use it to reduce your taxes and create a legacy gift for The SCORE Foundation.

Benefits:

  • Reduce your income taxes.
  • Receive additional tax deductions by making annual gifts so that we can pay the premiums if The SCORE Foundation retains the policy to maturity.
  • See firsthand how your gift supports our work if The SCORE Foundation cashes in the policy.
  • Further the work of The SCORE Foundation. If we retain the policy to maturity, or you name us as a beneficiary, once the policy matures, the proceeds of your policy will be paid to The SCORE Foundation.

Savings Bonds:

When you redeem savings bonds, you or the person you leave your bonds to will owe income tax on the appreciation. You can eliminate the income tax on bonds you own that have stopped earning interest and that you plan to redeem. Because The SCORE Foundation is tax exempt, 100 percent of your gift of savings bonds will support our mission.

Benefits:

  • Reduce income tax.
  • Reduce income tax and estate taxes for your loved ones.
  • Create your lasting legacy with The SCORE Foundation.

CDs, Bank Accounts, and Brokerage Accounts:

You can receive an immediate income tax charitable deduction when you name The SCORE Foundation as a beneficiary of a certificate of deposit, a checking or savings account, or brokerage account.

Charitable Lead Trust:

With this option, you can reduce or eliminate gift or estate taxes, transfer some of your assets to your children, and create your legacy with The SCORE Foundation. You’ll receive a gift or estate tax deduction at the time of your gift, and after a period of time your family will receive the trust assets as well as any increase in value.

Benefits:

  • Reduce gift or estate taxes.
  • Transfer assets to your family at reduced or no cost.
  • Make annual gifts to The SCORE Foundation.

Bargain Sale:

You can reduce income and capital gains taxes and sell a property that you no longer need or want. Even if you have a mortgage on the property, you can still carry out a bargain sale and benefit yourself and The SCORE Foundation.

Benefits:

  • Avoid capital gains tax on your charitable gift.
  • Reduce your income taxes in the year you make your gift.
  • Receive cash from the sale.
  • Create your lasting legacy with The SCORE Foundation.

Life Estate Reserved:

You can reduce your current income taxes while arranging to leave your home or farm to The SCORE Foundation. This gift allows you to use the property for the rest of your life and the lives of the others named.

Benefits:

  • Reduce your federal income taxes.
  • Retain the use and control of your home or farm.
  • Create a life estate based on more than one life, preserving the use of the property for you and a loved one.

Consult with your tax advisor and lawyer to determine what planned gift strategy is best for you.

Please contact Resa Kierstein, Vice President of Business Development, SCORE Foundation, at resa.kierstein@score.org or 703-487-3661 if you have any questions.

Then, consult with your tax advisor and lawyer to determine which planned gift strategy is best
for you.