Donors who are no longer in need of death benefits can use life insurance as a vehicle for donating to our organization. Through this form of donation, you can receive an income tax deduction for the surrender value, and you avoid the need for any subsequent premium payments in addition to the possibility of removing death benefits from a taxable estate. This deduction is limited to the lower cost basis or fair market value.
You have the option of purchasing a new policy naming Factnet Inc (the corporate name of Job One for Humanity and Universe Spirit,) as the irrevocable owner and beneficiary. The premium payments have the potential for income tax deductions. The gift may also result in favorable gift and estate tax consequences.
Another option is to name Factnet Inc (the corporate name of Job One for Humanity and Universe Spirit,) as the first, second, or contingent beneficiary of your existing policy.
Some states do have statutes that must be evaluated in relation to life insurance contributions. We recommend that you confer with your life insurance agent and tax advisor to determine the tax consequences and technical logistics of a proposed donation.
If you have any questions on the following, contact us at, (firstname.lastname@example.org).