You may wish to make a current gift of all or a fractional interest in a personal residence, a vacation home, undeveloped land, or a commercial property. Such gifts will entitle you to a federal income tax deduction equal to the fair market value of the property on the date of your gift, provided you have owned the property for more than one year, and will permit you to avoid capital gains tax on the transfer.
If you own a primary residence, a second home, or a farm and do not wish to dispose of such property in your estate, but do wish to continue to use the property, then you may give the Yale Peabody Museum a remainder interest in that property. This type of gift:
If
the Yale Peabody Museum can and is expected to use your gift of
property (such as minerals, or anthropological specimens) toward the
furtherance of its educational mission, and you have owned the property
for more than one year, you will be eligible for a fair market value
income tax deduction without having to recognize the capital gain on
any appreciation.
If the property is not of a type
the University can use, or your intention is that the University will
sell the property and use the proceeds, then your charitable
contribution deduction is limited to the lesser of your cost basis or
fair market value.
A gift of closely held stock may enable you to make a more significant gift than you otherwise could, will generate an income tax deduction equal to the fair market value of the stock on the date of transfer (provided you have held the stock for more than one year), and will not be recognized as capital gain. So long as there is no binding obligation on the Yale Peabody Museum to accept any subsequent purchase offers, nor any specified price at which the University must sell, the Yale Peabody Museum may entertain offers from family members or the corporation issuing the stock to purchase the transferred shares.
