Planned Giving: Charitable Lead Trust
A charitable lead trust provides a tax-wise method of transferring significant wealth to your heirs. Assets placed in a charitable lead trust are used to pay income to Manchester University for a term of years. At the end of the trust term, those assets are transferred to your heirs and any gift tax or estate tax you pay is greatly reduced or completely eliminated. You may even establish a charitable lead trust that will return those assets to you at the end of the trust term. This will provide you with an income tax deduction instead of the benefits attributed to the transfer taxes that can apply when your heirs are named in the trust.
There are complexities with a charitable lead trust that require careful consideration. Manchester University is glad to work with you and your attorney to see if this type of trust is right for you.
For more information, contact:
Stephen Thomas, director of gift and estate planning