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What are life income gifts and do they have additional tax benefits?

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What are life income gifts and do they have additional tax benefits?

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Life income gifts in the form of a gift annuity are made by irrevocably transferring securities, money, or other property to UMUC. The university then manages the assets and pays an income to you, your designated beneficiaries, or both. These payments continue for the life of the beneficiary or up to 20 years. At the end of the term, UMUC receives the fund principal. In a charitable remainder trust, securities, money, or other property is transferred to a trust established by the donor and trust may be managed by the donor. The trust pays an income to you, your designated beneficiaries, or both. UMUC acquires the proceeds after the trust terminates. Donors of life income gifts are eligible for a current tax deduction based on the present value of the gift.

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