Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (6) | Ignore Thread Prev Thread | Prev | Next | Next Thread
Author: ptheland Big gold star, 5000 posts Feste Award Nominee! Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 121061  
Subject: Re: More on Cap Gains Tax Bubbles Date: 12/14/1999 1:22 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 1
I wrote:
I'm not sure what you mean by deducting 1/3 of home improvements. Can you elaborate?

frontaloeb responded:
-- technicality. We have a renter.

My reply:
I trust, then, that you are aware that you don't really *deduct* home improvements (repairs, yes; improvements, no). Improvements are capital in nature and must be depreciated over 27.5 years for residential rental real estate. (Just in case someone else reading might have the same situation.)

frontaloeb:
-- Know anything about 1-year lockup agreements? Does it work to donate shares now when the charity can not sell them for 1 year? What's the FMV in that case!?
:) I think this shelter will have to wait...


Other than they can get messy, no. But I don't think that would necessarily have a bearing on a charitable contribution - as long as you can, under the terms of the lockup agreement, transfer the stock to the charity. Granted, the lockup probably restricts *any* transfer, but I could see a charitable transfer as a possible exception. A valuation would likely take into account the restriction on the shares, but could still be done. And any capital gain would still escape all income tax.

I'll confess - I'm an ardent supporter of charitable giving. I hope I'm not coming across too strong here. I just like to find ways to reduce taxes as much as possible where giving is concerned.

--ptheland
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (6) | Ignore Thread Prev Thread | Prev | Next | Next Thread

Announcements

Disclaimer:
In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement