In Uncertain Times, Donors Hold Back

Conrad Teitell, a lawyer with Cummings & Lockwood in Stamford, Conn., who represents a number of large charities, outlined trusts that can benefit both donors and charities, generally with significant tax advantages.

A charitable remainder trust allows people to contribute a large asset that is not producing income — a home, jewelry or art — that is then sold by the charity, which is not liable for capital gains tax, and reinvested in assets that provide income for the donor. After the donor’s death, the principal, or remainder, goes to the charity.