On Friday, June 8, 2001, members of the National Committee on Planned Giving and other interested parties testified at an IRS hearing about the proposed regulation revisions regarding the definition of income under section 643(b) to take into account changes in the definition of trust accounting income under state laws. The PGDC has obtained a copy of the written comments submitted by NCPG in advance of the meeting as well as selected excerpts from the hearing.   MORE »

New York attorney and long-time champion of philanthropy Conrad Teitell has submitted written comments and suggestions to the IRS regarding the proposed regulations under IRC section 643(b) and their effect on charitable remainder unitrusts and pooled income funds.   MORE »

For purposes of determining the present value of an annuity, an interest for life or a term of years, or a remainder or a reversionary interest, Revenue Ruling 2001-27 indicates that the charitable mid-term federal rate under Code Section 7520 for the month of July is 6.2%.   MORE »

In a complicated set of facts, the Service has ruled privately that a sale of estate assets by the estate of decedent to an LLC created by a decedent's family members in exchange for a promissory note, followed by the transfer of the note to five charitable lead trusts and operation of the business by the LLC and family members will not constitute a prohibited act of self- dealing under IRC §4941.   MORE »

On Friday, June 8, 2001, the IRS held a public hearing regarding proposed regulation revisions regarding the definition of income under section 643(b) to take into account changes in the definition of trust accounting income under state laws. The IRS has released the full text of the unofficial transcript of those proceedings.   MORE »

The Service has ruled privately that an individual can accelerate the remainder interest of a charitable remainder unitrust during his lifetime without adversely affecting the qualification of the trust. The trust instrument permits the trustor to assign any or all trust principal to any one or more of the trust's charitable remaindermen prior to the trustor's death. The trustor will terminate the trust by assigning all trust principal to three of the four original remaindermen.   MORE »

Handwritten estimates of charitable gifts by a donor do not charitable deductions make. So says the Tax Court in Gardener v. Commissioner.   MORE »

The rumors of the death of charitable bequests in the face of estate tax repeal have been greatly exaggerated. In this issue of Gift Planner's Digest, Robert F. Sharpe & Co. reports the results of a recent study conducted by Paul Schervish on behalf of Bankers Trust Private Banking that finds wealth holders would likely give more to both their heirs and charitable causes if the estate tax was repealed.  MORE »

Published as a companion piece to New Report Shows How Super- Wealthy Give, Robert F. Sharpe, Jr. and Barlow T. Mann, J.D. analyze IRS data from estate tax returns filed in 1998 and discuss what we can learn about the factors that influence charitable behavior.  MORE »

Normally we do not report on legislation until it is well on its way to becoming law; however, Rep. Earl Blumenauer, D-Ore., has introduced H.R. 1796, which would permit pets to be named as income recipients of charitable remainder trusts.   MORE »