sharonbret
Level 2

You wrote, "Under the current tax code, deductions for the donation of such properties are governed by §1.170A-4, which requires the FMV to be reduced by the amount of gain that would have been "recognized as gain which is not long-term capital gain if the property had been sold by the donor at its fair market value at the time of its contribution to the charitable organization"

That's wonderful and I have no problem with it, if I were talking about the amount of the gift. Again its the income side of things.  Can I get you off the deduction amount and get you to address the income side of things?

Again, I don't dispute the amount of deduction.

I'm referring to recognizing the gain that the donor would recognize if he sold. My citation is the discussion in BNA Portfolio 521-3d A-113 2008 I am sorry to say.  I wish I could afford the new stuff, but the principal is the same.  A-114 2nd full paragraph, column one, "Generally, not gain is recognized on the transfer of appreciated property, to a qualified charity......but they give no citation.  So too, estate and gift BNA portfolio 800-2nd, ....first column, at the bottom of the narrative, .....the income taxation of this gain might be avoided by a charitable transfer, with the present FMV .being ..deductible...  I hate the word, "might." ... but that there seems to be an exception for who the donee is... say a private foundation or a trust, as far as income recognition to the donor, but I did not pursue the matter.  Can you give me a citation to some authority?  I don't like the agriculture case either, but it did cite earlier cases that are not agriculture. maybe BNA should not have cited it, but it is the only thing apparently they could find.

 

Can you give me a citation, other than one talking about the deduction.

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