While you are considering your income tax savings, this may also be a good time to consider long-term tax savings for your heirs by including OLT in your will. The federal estate tax’s top rate is 40% for 2013 and future years as enacted by Congress and President Obama in the American Taxpayer Relief Act. That’s a higher tax bite than the federal income tax rate! However, one needs to remember that one’s heirs WILL NOT RECEIVE THE STEP UP IN COST BASIS ON ANY INVESTMENTS from your estate, thus there will be no escaping the capital gains tax if they liquidate an asset. The only way to avoid the capital gains tax is to give the appreciated asset to a charity who can then sell it. The donor receives credit for the full market value of the donation. It definitely pays to do some advance planning with your attorney and other professional advisors, especially since estate plans can be made flexible enough to change as your life and the laws change.
We hope you will consider a charitable bequest in your will to benefit OLT while you save on estate taxes.
Share Your Bequest with Orient Land Trust
Thank you for thinking of OLT in your estate planning. There are multiple ways to donate from your estate and this article is a good overview, https://www.aarp.org/money/taxes/info-2023/how-to-donate-to-charities-in-your-will.html
Your attorney and accountant will be able to give you the best advice and implement your wishes in your estate planning documents.
To properly identify OLT in those documents use our legal name and EIN as follows.
Legal Name: Orient Land Trust
Street Address: 64393 County Road GG, Moffat, CO 81143
Please let us know if you have any other questions.