This type of gift refers to an arrangement under which a property interest is conveyed to the Foundation, but the donor retains use of the property, or income from the property, for life or a specified term of years. If you are considering such a gift, please contact the Foundation office as approval from the Board of Directors must be obtained before proceeding.
Example:
A donor might give a residual interest in a personal residence and continue living there. The owner is entitled to a charitable tax receipt for the present value of the residual interest.
With these types of gifts, the donor will continue to be responsible for real estate taxes, insurance, utilities and maintenance after transferring title to the property unless the Foundation, upon prior approval of the Board of Directors, agrees to assume responsibility for any of these items. The Foundation is entitled to require that the donor provide proof of payment of those expenses for which the donor is responsible. The Foundation reserves the right to inspect the property from time to time to ensure that its interest is properly safeguarded.