Community Support Organizations

Community Support Organizations

Planned Giving Structures
The preferred strategies for Venture Philanthropists

Every Asset Protection and Estate Planning program should include a CSO (Community Support
Organization).   It is the most effective and financially beneficial strategy allowed by Congress.   Even if
you are not a "charity minded" person, a CSO will benefit you.
 
Click "Tax Advantages" to see the savings that may be generated with a CSO.

Community Support Organizations (CSO) offer income tax, estate and gift tax and asset protection
opportunities that are not available through Foundations or through any other form of Charitable Trust. 
The opportunities are are not available through Dynasty Trusts or through Offshore Trusts.   Because
they may be funded over a period of years and in varying amounts, CSOs are an option that should be
used by every tax conscious individual. 

CSOs are tax-exempt charitable trusts with which you may conduct business, from which you may borrow
money, which may purchase insurance on your life, which may invest in your business, and which may
pay salaries for non-management activities.   CSOs present the most powerful tax-advantaged gifting
opportunity available today, yet they are unknown to many advisors.  We invite you to carefully review the
information linked below.  We believe you will see the power of this type organization and the advantages
it presents to establish your legacy and to provide, in the most advantageous manner, for the promotion
of the organizations and causes you support.

CSOs are widely used in America.   We recommend that you view the listing @ The Foundation Center to
see the wide use of foundations.  The good news is that you can start your own "family foundation" and
begin building a family legacy today.   Although many of the foundations listed have assets that are
hundreds of millions, even many billions, there is no minimum investment required.   You may start your
family foundation and build your tax-exempt legacy piece by piece.

What's so great about Community Support Organizations?

 Qualifies as a 501(c)(3) - tax exempt organization.
 Cash gifts deductible up to 50% of AGI.
 Non-cash gifts deductible at fair market value up to 30% of AGI.  
 Long-term capital gain property gifted is deductible at fair market value up to 30% of AGI, with no
depreciation recovery.   
 No self-dealing rules (excess benefit rules apply, however).
 No excise taxes.
 May exist in perpetuity.
 Donor/Family sits on Board; may appoint successors.   
 No requirement to disclose donor's names or addresses.   
 May be funded by single donor or family.   
 May make secured and unsecured loans to donor.   
 May make investments in donor's business.
Read the following pages to learn more about this very powerful vehicle.

 Basic Considerations before establishing a Support Organization

 Strategies for utilizing a CSO: comparison of CSOs to private foundations & CRTs.
 A legal and organizational comparison with private foundations.
 Outline of expenses and disbursements allowed to CSOs.

How CSOs integrate and enhance your financial programs.

(Papers will be added in the near future to outline each of the items listed below. If you have questions,
please contact us.)

 Raising funds to develop real estate, or other projects?

 How a CSO can help you eliminate estate taxes.
 Thinking about a Charitable Trust or Annuity?   See how they compare to a CSO and how they may also be
used together.
 Use a CSO to receive the Remainder Interest of Charitable Trusts.
 Exchange assets with your CSO for a Private Annuity.
 A CSO may receive donations from offshore, and may establish charitable operations offshore.
 Have a valuable collection - donate it to a CSO
Benefit your organization through a Creative Planned Giving Program

Creating a substantial endowment and revenue source for your Charity/Non-Profit Organization may be
done through the Planned Giving Structure we have created.  We will be pleased to discuss this powerful
program with your organization.   Please contact us for additional information.

To obtain additional information, please e-mail us or telephone.