The IRA Rollover has NOT been extended through February 2012

After several clients sent us emails asking about the status of the IRA Rollover and whether it had been extended through February, Pentera confirmed that it has NOT been extended and WILL expire on December 31, 2011:


The electronic version of the Chronicle, quoting another source, reported that the Charitable IRA Rollover, presumably along with other items that are annually extended, were added to the payroll tax cut legislation and, along with it, extended for two months. Pentera downloaded the legislation that was passed by Congress on the 23rd, and we saw nothing in it referring to the Charitable IRA rollover. Thus, we conclude that either the news item was incorrect or that we did not see the final version of the legislation.


Update: Upon further research, we found this retraction from the Chronicle:


Editor’s note: "As pointed out by several readers in the comments below this item, The Record incorrectly reported news about an extension of a tax break for older donors who want to give up to $100,00 (sic) from their individual retirement accounts. Congress did not include anything about the tax break in the payroll-tax measure, so it will expire at year’s end. We have removed the summary to avoid misleading readers."

Ask the Experts - How to Reflect a Gift of Gold

Dear André,

The exchange of the gift of gold is complete. Now that that part of the transaction is complete, there seems to be some internal debate as to the type of gift and how to properly reflect it in the gift receipt letter. I would welcome your thoughts on closing this out.

Lisa K.

Dear Lisa,

Your receipt should reflect and describe the asset that was given to your institution—in your case, ten Krugerrand coins. You should not place a value on the gift in your receipt. There is a conflict of opinion as to what type of an asset (i.e., tangible personal property or cash equivalent) a Krugerrand would fall under.

André

Ask the Experts - When to Issue an 8283 Regarding Property in a Flip Trust

Dear André,

There is a FLIP trust that holds a condo in Cape May, New Jersey. The property has been appraised but not sold. Can we issue an 8283 to the donor when the property is deeded into the trust, or should we wait and issue an 8282 when it is sold?

Lisa F.

Dear Lisa,

Your note states that the flip trust "holds" a condo; that implies that the condo has already been transferred to the trust, which means that the trust should or would have to issue the 8283 even though the condo has not been sold. If the trust sells the condo within three years, the trustee would then have to file an 8282.

André

Are You and Your Donors Speaking the Same Language?

Are You and Your Donors Speaking the Same Language?  

In the planned giving field - like any specialized endeavor - there is often a lot of insider jargon. For internal communications, such lingo saves time because the meaning is commonly understood. But while certain words and phrases may be taken for granted in your planned giving office, they don’t necessarily make any sense to your donors. And donors are the ones you need to reach.