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Converting Physical Assets to Cash Using Auctions to Boost Revenue
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Donor sells assets – pays applicable capital gains and income taxes* Donor contributes after-tax proceeds from sale to Non-Profit Donor takes tax deduction* = amount of cash contribution * Consult tax advisor for your unique situation
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Donor contributes assets to Non- Profit Organization Non-Profit sells items at auction and keeps cash proceeds Donor takes tax deduction* = full amount of assets’ fair market value * Consult tax advisor for your unique situation
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Donor transfers assets to CRT trust Trust sells assets and invests cash Donor takes trust income for life Non-profit receives principle of trust at donor’s death Donor takes tax deduction and avoids other taxes according to IRS rules for CRTs* * Consult tax advisor for your unique situation
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