NetGain is committed to providing independent, unbiased commentary for income investors. The goal of that commentary is to minimize risk and maximize the return on investment for income property buyers and owners. Legal entities are not an area of general comment. That being said, the following is a brief introduction to the topic:

A Charitable Trust becomes a consideration when there is a substantial capital gain. The property is contributed to a qualified charity (one that has applied for and received tax-exempt status). The charity sells the property and pays no tax. Consequently, 100% of the funds are available for providing a return to the donor. That’s the good news. What might be the bad news is the asset is irrevocably removed from your estate. If these comments have stirred your interest, see a lawyer who has experience with Charitable Trusts for a complete explanation.