Chapter 16 - § 16.1 • INTRODUCTION

• Jurisdiction: Colorado

§ 16.1 • INTRODUCTION

The availability of income, gift, and estate tax deductions is often perceived as a primary factor that motivates charitable gifts. It should not be, and the almost universally accepted wisdom is that charitable gifts should be inspired predominantly by altruism. Nonetheless, charitable gifts unavoidably involve financial sacrifice, and, because the available tax benefits can help alleviate, but not entirely eliminate, that cost, it properly is of considerable importance to donors and their advisors to ensure that charitable gifts are properly planned to take the greatest possible advantage of those charitable deductions.

The federal tax rules that govern charitable gifts are technical and complex. The consequences of a charitable gift may vary, depending on the type of property donated, the kind of charity it is...