Bargain Sale

You may be looking for a way to divest yourself of an appreciated asset while receiving some value in cash and the balance as a charitable deduction. A bargain sale may be the solution. We work with you and your legal and tax advisors to help fulfill your charitable goals while providing maximum tax benefits.

Gifts of real estate or personal property must be approved in advance by the Community Foundation's Board of Governors. Email President Bob Fockler or call him at (901) 722-0045 if you are considering such a gift.

Bargain Sale

Property

Sale Portion

CFGM

How a bargain sale works

1. Sell the Community Foundation of Greater Memphis your appreciated asset, often real property, for a price less than fair market value.
2. Receive the cash from the sale and a charitable deduction for your gift to the Community Foundation (the difference between the market value and sale price).
3. While you may owe some tax on the amount you receive from the Community Foundation, the charitable deduction from your gift could offset your taxes this year.

Benefits May Include:

• Avoiding capital gains tax on your charitable gift;
• The deduction from your gift will give you valuable tax savings that may reduce your tax bill this year;
• You may reinvest the cash received from the sale to create more income for your future; and
• Best of all, your gift will support the organizations and causes you value.