Charitable Remainder Trusts

A Charitable Remainder Trust is a gift plan that provides a life income to the donor or other beneficiary. Under this arrangement, a donor irrevocably transfers assets to a trust for a designated period of time, during which payments are made to the donor or to a designated beneficiary. At the end of the trust period, the remaining assets are transferred to the Preservation Society to be used for whatever purposes the donor determined. Tax advantages to the donor are substantial, including the avoidance of any capital gains tax in the appreciated property and the generation of a substantial charitable deduction. Donors may choose to have either a fixed payment (Charity Annuity Trust) or a percentage of the trust assets, re-valued annually (Charitable Unitrust).

The Charitable Lead Trust

 
The Charitable Lead Trust is often used by the family that wishes to pass family assets, such as a business or real property, intact to the next generation at substantially reduced estate taxes. Often described as being the opposite of a charitable remainder trust, a lead trust provides the Preservation Society with income for a stated period of time, after which the assets are distributed to family members as stated in the trust agreement.

For more information, contact: 

Sarah Iwanski, Director of Development
The Preservation Society of Newport County 
424 Bellevue Avenue Newport, RI 02840 
Phone: (401) 847-1000, ext.167 
E-mail: Siwanski@newportmansions.org