Spring 1997
Avoiding Taxes
Taxes are on the mind of many of us at this time of year. Would you rather give
your money to the Internal Revenue Service or to The Vegetarian Resource Group?
However many of us have limited funds to donate now. Yet we know that the need
for The Vegetarian Resource Group's invaluable outreach will continue for
decades. So how can you ensure that VRG will be able to continue our work and
expand it in the future without the IRS taking significant chunks from you? The
answer is to develop a financial plan that supports VRG, yet also ensures you
meet your own needs.
Most of our donors support The Vegetarian Resource Group with tax-deductible
gifts of cash or check. These are critical to our immediate needs. Thank You!
But we also need to look toward the future and expand our existing programs. We
are very grateful to all the people who have included The Vegetarian Resource
Group in their will or life insurance policies. If you haven't done this yet,
this is probably the single most important action you can take for
vegetarianism.
You probably already have a will (and if not, you should), so please consult
your lawyer about adding VRG. One suggested form of bequest is "I give and
bequeath to The Vegetarian Resource Group, Baltimore, Maryland ___ percent of my
residual estate" (or a specific dollar amount, stock, land, or insurance
proceeds). We recommend you consult an attorney to ensure the wording is
correct for your state and your wishes will be carried out. The advantage of
including a percentage of your estate is that as your assets grow over time, you
will be able to contribute a larger amount to VRG without having to change your
will. And remember, contributions to The Vegetarian Resource Group are not
subject to federal estate taxes, so you can avoid the IRS one more time.
In addition to wills, there are other ways you can support VRG's work during
your lifetime, including Charitable Remainder Trusts and Charitable Gift
Annuities.
Charitable Remainder Trusts: These legal arrangements allow you to set up a
trust, a separate tax entity in the eyes of the IRS. The money is invested
however you choose, in stocks, bonds, a money market fund, or a bank certificate
of deposit. The investment income is then returned to you in part or in whole
and varies based on the performance of the investment. Upon your passing (or the
passing of last family member named in the trust), VRG receives the principal.
Charitable Remainder Trusts are advantageous because you get current income
while avoiding capital gains taxes on appreciated assets. You also get a tax
deduction when you fund the trust and avoid all federal estate taxes on assets
in the trust.
Charitable Gift Annuities: These annuities give you a fixed rate of return on
your money, based on your age. The percent return is based on a recommended rate
as determined by an independent organization. Upon your passing, VRG receives
the principal. Depending on your age, older individuals may get more than you
could get in the financial markets. You can also donate appreciated property,
again avoiding capital gains taxes on appreciated assets. As with charitable
remainder trusts, you get a tax deduction when you fund the annuity and avoid
all federal estate taxes on assets in the annuity.
For more information on wills, charitable remainder trusts, or charitable gift
annuities, please contact Brad Scott
at The Vegetarian Resource Group, PO Box
1463, Baltimore, MD 21203, or call (410) 366-8343. All inquiries will be kept
in the strictest of confidence.
 |
� 1996-
The Vegetarian Resource Group
PO Box 1463, Baltimore, MD 21203
(410) 366-8343 Email: [email protected]
|
|
Last Updated
September 20, 1997
|
Graphic
design by |
|
The contents of this web site, as with
all The Vegetarian Resource Group publications, is not
intended to provide personal medical advice. Medical
advice should be obtained from a qualified health
professional.
Any pages on this site may be
reproduced for non-commercial use if left intact
and with credit given to The Vegetarian Resource Group.
Web site questions or comments? Please email
[email protected].
|