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Financial Planning / Tax Strategies


Subject:  Re: IRA and Charitable Trust Date:  11/3/2000  4:49 PM
Author:  TMFTaxes Number:  41465 of 132119

<<I know i can avoid capital gains taxes on appreciated stocks by putting them in a Charitable Remainder Unitrust(and of course pass the Trust to a Charity.>>

Right...and there are some other benefits.

<< Can I also "promote" an IRA by doing the same with it? >>

I don't know what you mean by "promote". If you are asking if you can avoid taxes on your IRA by "gifting" the IRA to a CRT, then answer is no. If you were to do such a thing, it would be a deemed distribution to your for the balance of the IRA (taxable to you), and then you would be funding the CRT with after tax funds.

So trying this gambit with an IRA account isn't going to accomplish your goals of avoiding taxes on the IRA.

TMF Taxes
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