PG Calc Blog

Ready or not, it’s year-end again, which leads us right into tax season – that “most wonderful time of the year!” Here is our quick review of the tax reporting process for life income gifts.

The trend of the ultra-low IRS discount rate introduces some risk to charitable gifts – specifically, it increases the likelihood that some gifts won’t pass tests that have been deemed important. Additionally, the current 1.0% rate could pose a particular problem if it persists after September 30 and the 1.2% look back is no longer available. 

A Price Waterhouse Coopers alert reports that organizations filing Schedule R, Related Organizations and Unrelated Partnerships, will no longer have to disclose the names of split-interest trusts in Part IV of that schedule. Schedule R is part of a charity’s annual tax filing, IRS Form 990 - Return of Organization Exempt From Income Tax.