GIFTS OF CASH
A gift of cash is the most popular type of charitable gift. The gift is considered made on the date it is hand-delivered or a check is mailed (postmark on envelope). A contribution on a credit card can be deducted when the charge is made even though the donor's record is updated at a later time. Gifts of cash are fully deductible up to 50 percent of your adjusted gross income. Any excess over the 50 percent deduction ceiling may be carried forward as a deduction on one's personal income tax return for up to five additional years. Checks should be made payable to the Aiken Partnership.
Thousands of corporations and businesses now have programs to match employee gifts either in whole or in part. In some cases, gifts from spouses, directors and retired employees are matched. We urge you to explore this possibility as it may double or, in some cases, triple your gift. Ask your employer about it or check here to see if your company is listed as a matching gift company. You can learn more about matching gifts here.
GIFTS OF APPRECIATED ASSETS
A contribution of long-term appreciated assets entitles you to a charitable contribution deduction equal to the fair market value of the assets, such as securities, at the time of the gift. And you avoid capital gains tax on any appreciation of those securities. Gifts of appreciated assets are fully deductible up to 30 percent of your adjusted gross income for that year. Any excess of the 30 percent deduction may be carried forward up to five additional years. When making a gift of long-term appreciated assets, you save twice -- on income tax and capital gains tax. You get a charitable deduction for the full fair market value of the gift and you save the capital gains tax that would otherwise be due if you sold the appreciated asset.
Securities are considered a gift to the University on the date the certificate and stock power pass unconditionally from your control (the postmark date if mailed or the date on which we receive an overnight delivery package) or the date the securities are transferred directly to a University of South Carolina Foundation brokerage account. To value the securities, we calculate a mean price using the average of the high and low of the security on the day you relinquish control to the University, as per IRS rules.
GIFTS OF CLOSELY-HELD STOCK
Gifts of closely held stock exceeding $10,000 in value must have a fair market value placed on them by a qualified independent appraiser as required by the IRS for valuing gifts of non-publicly traded stock. An independent CPA who maintains the books for a closely held corporation is deemed to be qualified to value the stock of the corporation. Gifts of $10,000 or less may be valued at the per-share cash purchase price of the most recent transaction.
GIFTS OF REAL PROPERTY
You may contribute real property to the University, either as a bequest or, more commonly, by a lifetime transfer, and realize significant tax benefits. The University looks at possible gifts of property on a case-by-case basis. It is a detailed process but very workable and the rewards are great. Gifts of real property may consist of almost any type of property: a personal or recreational residence, a farm or ranch, a commercial building, subdivision lots or any undeveloped parcel of land. The gift may be for all of your interest in the property or an undivided fractional interest. Individual charitable goals and financial needs determine which of the following methods of giving real property is most appropriate for your situation.
You transfer the property by deed to the University of South Carolina Development Foundation or to one of the other University affiliated foundations, and it is subsequently sold unless there is a special reason for holding the particular parcel of real property.
Life Income Gift
Real property is transferred to a trust where it is sold by the trustee. The income is paid to you and/or other named beneficiaries. The income paid to the beneficiaries for life depends on the net proceeds realized on the sale of the real property in combination with a previously agreed upon rate of return. At the death of the last of the life beneficiaries, the assets of the trust pass to one of the University's Foundations.
Life Tenancy Gift
In very limited situations, ownership of the real property may be transferred to one of the University's Foundations, but you retain the right to live on the property for your lifetime. You receive an income tax charitable contribution deduction for the present value of the remainder interest of the gift. Upon the death of the "life tenant," the property may be sold or used by the University.
GIFTS OF PERSONAL PROPERTY
The University's Library is enriched by gifts of personal property such as rare books, manuscripts, paintings, artifacts and other art objects. Our classrooms and research capabilities are also enriched by contributions of computer hardware and software.
If you have any questions, please contact: