Viewers who wish to establish funds to support future programming at OETA may have an advantage if they can contribute real estate. A contribution of real estate — whether it’s your personal residence, a vacation home, a farm, commercial real estate, or vacant land — may enable you to enjoy attractive personal benefits while at the same time supporting your public television station.
Implications of a Sale Versus a Gift
When you sell your home, you may qualify for an exclusion of up to $250,000 ($500,000 if married) of the gain, eliminating capital gains tax on anything up to that amount. This exemption applies if you’ve used the home as your primary residence at least two of the past five years.
However, this capital gains tax break doesn’t apply for sales of any real estate other than your primary residence. One way to avoid capital gains tax on real estate is to contribute it to OETA. You avoid the capital gains tax and enjoy an income tax charitable deduction for the appraised value of the property.
Review the Benefits
Property that has been owned more than a year makes an excellent charitable contribution and promises you several advantages:
- You avoid the time-consuming process of selling the property.
- You no longer have to pay the taxes and upkeep.
- You obtain an income tax charitable deduction equal to the property’s full fair market value (if held more than a year) instead of the lower cost basis.
- You avoid tax on the property’s appreciation.
- The transfer isn’t subject to the gift tax, and it may reduce your taxable estate.
Give your home or other real estate to OETA — your personal satisfaction is complemented by valuable tax benefits.
To Learn More
Estate plans should be made with your financial advisor. OETA Foundation will be happy to work with you and your professional advisor to discuss the benefits of the plans listed here and how they can work for you. Please contact us anytime.
7403 North Kelley Avenue
Oklahoma City, OK 73111