Alternative Endings: Early Terminations of Split Interest Gifts

Sometimes a gift annuitant doesn’t need their gift annuity payments anymore. Or the income beneficiary of a shrinking charitable remainder trust wants to preserve its principal for a charity they love. Or the life tenant of a retained life estate is ready to move out of their home. With split interest charitable gifts, if all parties agree, the arrangement can be terminated at any point in time. In many cases, the person giving up the benefit will be entitled to an additional charitable tax deduction. In this webinar, Jeffrey Frye and Jay Pacitti will review situations where a life income beneficiary or a life tenant may want to terminate their interest. They will discuss the steps involved in terminating a split interest gift, as well as how to compute the value of the benefit that is being relinquished and the potential for a tax deduction.