Montana Endowment Tax Credit (METC): A tax credit in the amount of 40% of your charitable gift - tax credits are truly valuable in addition to your gift being tax deductible at the federal level. Each year, the maximum tax credit per individual is $10,000 ($20,000 for a couple). Taking advantage of the tax credit will not only reduce or eliminate your out of pocket tax costs. The Community Foundation will gain valuable endowment support in perpetuity from your gift. Endowment revenue is used for community programs and asset building to enhance Columbus for generations to come!
Individual Retirement Accounts (IRA's): Congress made permanent a law that allows retirees age 70½ or older to donate up to $100,000 each year from their IRAs directly to charities. The contribution counts toward your required annual minimum distribution (RMD) and isn't included in your adjusted gross federal income for the year in which the transfer occurs. Retirees avoid recognition of taxable income from retirement accounts. For taxpayers who want to reduce the size of their estate, this provision is an ideal way to divest their estate of significant taxable assets - while also making a transformational gift to benefit the community you love.
Endowment Gifts: A gift to our existing endowment is 100% tax deductible. Learn more about endowments here.
Stock donations: Talk to your investment advisor about potential tax savings by selling stocks that are selling below their cost. Offset gains realized in 2017, and deduct up to $3,000 of resulting losses on your federal tax returns. The tax savings on the loss frequently exceed any gain or dividend likely to be received from these investments. The Foundation has quickly accessible stock transfer instructions for last minute transfers. ·
Charitable Gift Annuity: If you own highly appreciated stocks, consider transferring some of those shares to fund a Charitable Gift Annuity to eventually benefit the permanent endowments. Your gift is free from federal and state capital gains tax liability, will yield federal deductions, qualify for the state tax credit and provide permanent support to your community.
To ask specific questions about these options, we welcome you to visit the Montana Community Foundation!
However you choose to give this year, we are thankful for people like you who see the value of investing in the place we're proud to call home.