Charitable giving strategies are an important component of tax planning, offering you the opportunity to support causes and ministries you care about while maximizing tax benefits. Charitable donations can be tax-deductible--reducing tax liabilities both from an income tax, and estate and gift tax perspective. This may include strategies such as donating appreciated assets, establishing donor-advised funds (DAF), gifts from qualified accounts, utilizing charitable remainder trusts, or by incorporating charitable gifts into an estate plan.
From an estate and gift tax standpoint, there are many opportunities to mitigate or eliminate exposure to estate and gift tax, while maximizing gifts to friends, family members, and charities. If an individual’s net worth or a couple's joint net worth is greater than the estate and gift tax exemption, there are various strategies that can be implemented to reduce or eliminate their estate’s exposure to estate and gift tax.