Preface xv Book Citations xix Part One Introduction to the Tax Law of Charitable Giving 1 Charitable Giving Law: Basic Concepts 3 § 1.1 Introduction to Charitable Contribution Deduction 3 § 1.2 Defining Tax-Exempt Organizations 5 § 1.3 Charitable Organizations Law Philosophy 8 § 1.4 Statistical Profile of Charitable Sector 23 § 1.5 History of Charitable Contribution Deduction 29 § 1.6 Charitable Contribution Deduction Reform Proposals 32 2 Fundamental Concepts 35 § 2.1 Definition of Gift 36 § 2.

2 Definition of Donor 83 § 2.3 Definition of Charitable Organization 84 § 2.4 Public Charities and Private Foundations 96 § 2.5 Unrelated Business Law 113 § 2.6 Factors Affecting Income Tax Deductibility of Charitable Gifts 121 § 2.7 Charitable Organizations Listing Reliance Rules 122 § 2.8 Grantor Trust Law 126 3 Contributions of Money and Property 129 § 3.1 Contributions of Money 129 § 3.

2 Contributions of Property in General 130 § 3.3 Contributions of Long-Term Capital Gain Property in General 132 § 3.4 Contributions of Ordinary Income Property 132 § 3.5 Certain Contributions of Capital Gain Property 136 § 3.6 Contributions of Property for Unrelated Use 139 § 3.7 Step Transaction Doctrine 142 § 3.8 Charitable Pledges 148 Part Two Charitable Giving in General 4 Timing of Charitable Deductions 153 § 4.1 Overview of Law 154 § 4.

2 Contributions of Money in General 155 § 4.3 Contributions of Money by Check 155 § 4.4 Contributions of Money by Credit Card 158 § 4.5 Contributions of Money by Telephone 159 § 4.6 Contributions of Securities 159 § 4.7 Contributions of Copyright Interest 162 § 4.8 Contributions by Means of Notes 163 § 4.9 Contributions by Letters of Credit 163 § 4.

10 Contributions of Property Subject to Option 164 § 4.11 Contributions of Stock Options 165 § 4.12 Contributions of Credit Card Rebates 167 § 4.13 Contributions of Tangible Personal Property 167 § 4.14 Contributions of Real Property 168 § 4.15 Contributions of Easements 168 § 4.16 Contributions by C Corporations 169 § 4.17 Contributions by S Corporations 170 § 4.

18 Contributions by Partnerships 171 § 4.19 Contributions by Means of the Internet 173 5 Limitations on Annual Deductibility 175 § 5.1 Overview of Law 176 § 5.2 Individuals'' Contribution Base 179 § 5.3 Corporations'' Taxable Income 179 § 5.4 Percentage Limitations: An Overview 180 § 5.5 Sixty Percent Limitation 182 § 5.6 Fifty Percent Limitation 183 § 5.

7 Thirty Percent Limitation for Gifts of Certain Property 186 § 5.8 Electable 50 Percent Limitation 189 § 5.9 General 30 Percent Limitation 193 § 5.10 Interplay of 50 Percent/Special 30 Percent Limitations 194 § 5.11 Interplay of 50 Percent/General 30 Percent Limitations 194 § 5.12 Interplay of Special 30 Percent/General 30 Percent Limitations 195 § 5.13 Twenty Percent Limitation 195 § 5.14 Qualified Conservation Contribution Law 196 § 5.

15 Conservation Gifts by Farmers and Ranchers 196 § 5.16 Gifts for the Use of Charity 198 § 5.17 Blending Percentage Limitations 199 § 5.18 Rules for Spouses 200 § 5.19 Information Requirements 202 § 5.20 Percentage Limitation for Corporations 202 6 Estate and Gift Law 205 § 6.1 Overview of Law 205 § 6.2 Federal Gift Tax 207 § 6.

3 Federal Estate Tax 218 § 6.4 Unification of Taxes 234 § 6.5 Remainder Interests 234 § 6.6 Ascertainability of Value of Charitable Interest 244 7 Unique Charitable Contribution Laws 249 § 7.1 Works of Art 250 § 7.2 Gems 254 § 7.3 Inventory 256 § 7.4 Scientific Research Property 264 § 7.

5 License to Use Patent 265 § 7.6 Easements and Other Conservation Property 267 § 7.7 S Corporation Stock 292 § 7.8 Section 306 Stock 300 § 7.9 Retirement Plan Accounts 302 § 7.10 Commodity Futures Contracts 309 § 7.11 Donors'' Creations 311 § 7.12 Charity Auctions 312 § 7.

13 Services 319 § 7.14 Unreimbursed Expenses 321 § 7.15 Limitation on Deduction for Expenses Due to Pleasure 327 § 7.16 Automobile Expenses 331 § 7.17 Use of Property 331 § 7.18 Bargain Sales 332 § 7.19 Property Subject to Debt 338 § 7.20 Future Interests in Tangible Personal Property 341 § 7.

21 Contributions by Trusts 342 § 7.22 Taxidermy 351 § 7.23 Clothing and Household Items 352 § 7.24 Vehicles 352 § 7.25 Intellectual Property 359 § 7.26 Foreign Tax Credit 363 § 7.27 Subsistence Whaling Expenses 364 § 7.28 Virtual Currency Transactions 365 8 Additional Aspects of Deductible Giving 367 § 8.

1 Contributions by Means of an Agent 368 § 8.2 Contributions for the Use of Charity 369 § 8.3 Conditional Contributions 371 § 8.4 Earmarking of Contributions for Individuals 377 § 8.5 Interrelationship with Business Expense Deduction 380 § 8.6 Denial of Deduction for Lobbying Activities 382 § 8.7 Deductible Contributions to Noncharitable Organizations 383 § 8.8 Reallocation of Deductions 388 § 8.

9 Funding of Terrorism 388 § 8.10 Statute of Limitations 389 § 8.11 Concept of Trust Income 389 § 8.12 Unrelated Business Income Charitable Deduction 393 § 8.13 Charitable Family Limited Partnerships 394 § 8.14 Abusive Tax Transactions 396 § 8.15 Public Policy Considerations 408 Part Three Planned Giving 9 Planned Giving and Valuation 417 § 9.1 Planned Giving Fundamentals 417 § 9.

2 Partial Interests Law 420 § 9.3 Overview of Valuation Law 423 § 9.4 Standard Actuarial Factors 424 § 9.5 General Actuarial Valuations 426 § 9.6 Nonstandard Actuarial Factors 429 § 9.7 Securities Laws 432 10 Charitable Remainder Trusts 435 § 10.1 Definitions 437 § 10.2 Charitable Remainder Annuity Trust Law 448 § 10.

3 Charitable Remainder Unitrust Law 462 § 10.4 Issues 479 § 10.5 Tax Treatment of Distributions 492 § 10.6 Division of Charitable Remainder Trusts 499 § 10.7 Basis in Disposition of Term Interest 503 § 10.8 Taxation of Charitable Remainder Trusts 505 § 10.9 Mandatory Provisions 507 § 10.10 Private Foundation Law 508 § 10.

11 University Endowment Investment Sharing 510 § 10.12 Charitable Remainder Trusts as Partners or Shareholders in REITs 512 § 10.13 Wealth Replacement Trusts 513 § 10.14 Calculation of Charitable Contribution Deduction 513 § 10.15 Merger of Charitable Remainder Trusts 519 § 10.16 Early Terminations of Charitable Remainder Trusts 519 § 10.17 Regular Termination of Charitable Remainder Trusts 521 11 Pooled Income Funds 525 § 11.1 Definitions 526 § 11.

2 Qualifying Pooled Income Funds 527 § 11.3 Allocation of Income 533 § 11.4 Recognition of Gain or Loss on Transfers 534 § 11.5 Mandatory Provisions 535 § 11.6 Private Foundation Law 536 § 11.7 Pass-Through of Depreciation 537 § 11.8 Tax Status of Funds and Beneficiaries 538 § 11.9 Multiorganization Pooled Income Funds 540 § 11.

10 Comparison with Charitable Remainder Trusts 543 § 11.11 Charitable Contribution Deduction 544 12 Charitable Gift Annuities 547 § 12.1 Contract as Vehicle Form 547 § 12.2 Tax Treatment to Donor 548 § 12.3 Deferred Payment Gift Annuities 549 § 12.4 Estate and Gift Tax Consequences 550 § 12.5 Unrelated Business Income Implications 550 § 12.6 Unrelated Debt-Financed Income Implications 551 § 12.

7 Contrast with Other Planned Gift Methods 552 § 12.8 Antitrust Laws 553 § 12.9 Securities Laws 554 § 12.10 Charitable Contribution Deduction 554 13 Other Types of Deductible Remainder Interests 557 § 13.1 Overview of Law 557 § 13.2 Qualifying Partial Interests 558 § 13.3 Remainder Interests in Personal Residences or Farms 558 § 13.4 Undivided Portions of Entire Interests in Property 562 14 Charitable Lead Trusts 571 § 14.

1 Overview of Law 571 § 14.2 Income Interests 572 § 14.3 Tax Treatment of Charitable Lead Trusts 574 § 14.4 Testamentary Use of Charitable Lead Trusts 576 § 14.5 Percentage Limitation Law 578 § 14.6 Private Foundation Law 578 § 14.7 Anti-Abuse Rule Concerning Income Interests 580 § 14.8 Charitable Income Trusts 582 § 14.

9 Comparison with Charitable Remainder Trusts 583 § 14.10 Valuing Charitable Contribution Deduction 583 § 14.11 Charitable Contribution Deduction 584 15 Contributions of and Using Life Insurance 587 § 15.1 Introduction 587 § 15.2 Life Insurance Concepts 588 § 15.3 Charitable Giving and Insurance 591 § 15.4 Insurable Interest 596 § 15.5 Unrelated Debt-Financed Income Law 599 § 15.

6 Charitable Split-Dollar Insurance Plans 600 § 15.7 Insurance Contract Reporting Requirements 607 Part Four International Charitable Giving 16 International Giving by Individuals During Lifetime 611 § 16.1 Introduction 611 § 16.2 Overview of Law 612 § 16.3 Earmarking and Conduit Restrictions 615 § 16.4 Control over Foreign Donee.