Gifts Of Cash

Most donors prefer this type of gift. The amount can be deducted in the year that the gift is made, provided that you itemize your deductions and meet other income tax criteria; current tax laws allow you to deduct up to 50% of your adjusted gross income. If your gift exceeds the 50% figure, you may deduct the difference over the next 5 years.

Gifts Of Securities

Appreciated Value: It is usually in the donor’s best interest to make a gift of appreciated property rather than the proceeds from its sale. If the gift qualifies as “long term property” you can avoid the capital gains tax and legally deduct the full market value; generally subject to a limitation of 30% of your adjusted gross income, with a five year carry over of any excess amount.

Depreciated Value: A donor who wishes to give property that has decreased in value would be better served selling it. The donor would then be able to claim a capital loss on taxes and receive the benefit of a charitable contribution.

Gifts of life insurance

New Policies: A donor who takes out a life insurance policy and makes the Masonic Medical Research Laboratory the owner and beneficiary can take a charitable tax deduction for each premium payment made during each calendar year.

Paid-up Policies: The donation of a paid up life insurance policy to the Laboratory, entitles the donor to an income tax deduction for the cash value of the policy up to 50% of his/her adjusted gross income. If the value of the policy exceeds 50% of adjusted gross income, the donor can deduct a part of the value of the policy in the year of the gift and the remainder over the next five years.

Policies with Premiums: A donor who makes a gift of a life insurance policy with premiums to be paid is entitled to an income tax deduction equal to the estimated cash value of the policy and the amount of the annual premium subject to the 50% of adjusted gross income limitation.