- Current IRS Discount Rates for June 2013
- Rates Effective January 1, 2012 To Remain the Same as of 4/15/13
- ACGA's Statement Regarding the House’s Tax Reform Bill
- American Council on Gift Annuities and the Partnership for Philanthropic Planning Respond to Recent Securities and Exchange Commission Fraud Case Involving CGAs
- Conrad Teitell Speaks to the Committee on Ways and Means on Behalf of ACGA
Taxation of Gift Annuity Payments
Last Updated on Friday, 01 July 2011 02:02 | 
| 
|
If the gift annuity is funded with cash, part of the payments will be taxed as ordinary income and part will be tax-free. If funded with appreciated securities or real estate owned more than one year, and the donor is receiving the annuity payments, part of the payments will be taxed as ordinary income, part as capital gain, and part may be tax-free. The charity that issues the annuity will send a Form 1099-R to the annuitant. This form will specify how the payments should be reported for income tax purposes. For details regarding the taxation of gift annuity payments, it is wise to consult with representatives of the charity as well as your financial advisors.
