Real Estate

Various forms of real estate, including primary residences, vacation homes, farms, undeveloped land, and commercial property, can be donated to Sigma Xi. You can make an outright gift or retain an interest in the property.

Outright Gifts
If you have owned the property for longer than one year, you are entitled to a charitable deduction equal to the full fair market value of the property. Donating the property to Sigma Xi also allows you to avoid paying capital gains tax on the appreciation.

Gifts That Allow You To Still Use The Property
Perhaps you would like to help Sigma Xi and enjoy the tax advantages of a gift, but you prefer to continue living in your home. A retained life estate makes this possible.

By giving Sigma Xi a remainder interest in your property, you, or a person you designate, is permitted lifetime use of your home. Upon the death of the designated person, ownership of the property transfers to Sigma Xi. A charitable deduction is allowed in the year the remainder interest is established, and because the property is transferred to Sigma Xi, estate taxes are avoided.

Tangible Personal Property
A gift of tangible personal property to Sigma Xi entitles you to an immediate tax deduction. Tangible personal property includes any property, other than land or buildings, that can be seen or touched, such as artwork or books.

The amount of the deduction will vary depending upon whether or not your gift is related to the exempt purposes of Sigma Xi.

Unrelated Use
Gifts of property put to an unrelated use by Sigma Xi entitle the donor to a deduction equal to the lesser of the property's cost basis or its full fair market value. The sale of donated property in order to use the proceeds is the most common unrelated use. For example, if you donate jewelry currently worth $1500, but for which you paid $500, and the intention is that Sigma Xi will sell the jewelry and keep the proceeds, you are only entitled to a deduction of your cost basis, $500.

Related Use
Some gifts of property can be used by Sigma Xi to further our mission. For example, if you donate a collection of books to be used by Sigma Xi, you are entitled to a deduction of the full fair market value of the books. If, however, you are the creator of the donated property, you are only entitled to a deduction of your cost basis in creating the property.

If you would like further information about making a gift of real estate or other personal property, contact the Development Office at 800-243-6534.

This information reflects, in very general terms, how a gift might affect specified tax liabilities. This is not an effort to reflect your current tax picture or suggest that a particular gift will have the indicated result in your case; only your lawyer and accountant can do that. We suggest you consult your professionals before acting upon the concepts reflected here.

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Sigma Xi is a 501(c)(3) not-for-profit. All donations made are tax-deductible.
EIN available upon request