Gifts of real estate make great sense for anyone considering major philanthropy with current or estate gifts.
In almost all instances, the IRS allows a deduction of the full appraised value of the property for outright gifts. This deduction can be used to offset up to 30 percent of adjusted gross income in the year of sale, plus five carry forward years. When the university sells the real estate, no capital gains tax is due. The full net proceeds can then be leveraged by claiming matching funds from the state of Florida at rates ranging from 50-100 percent.
Charitable remainder unitrusts funded with real estate can have spectacular results when used for retirement or other lifetime income. Funding the unitrust with real estate generates a sizeable income tax deduction, even if the property is not immediately liquidated. When liquidated, there are no capital gains taxes on the proceeds, nor are taxes due on gains in the market once the proceeds have been invested. At the recommended payout rates of 5-7 percent of the value of the corpus, returns should average in excess of the pay-out. Excess returns are reinvested and can provide a hedge against inflation as the corpus grows.
The University of Florida Foundation, Inc., has an experienced staff that can assist as you consider gift vehicles or estate planning for you or your clients. To support the law school, contact Bruce DeLaney, director of real estate at (352) 392-5405 or firstname.lastname@example.org. You may also contact the law school Office of Development directly at (352) 273-0641.
— Bruce Delaney, UF Director of Real Estate
Take Advantage of The Pension Act
For just a short time, charitably-minded UF Law alumni 70 1/2 years of age and older can take advantage of a new law that will allow them to make donations from their IRAs while excluding the amount from their gross income.
“The Pension Protection Act of 2006 is a wonderful opportunity for alumni who meet the requirements and who want to support the law school,” said Kelley Frohlich, senior director of development. “However, the window of opportunity to use this creative tool is currently only available until the end of 2007.” Gifts cannot exceed $100,000 per taxpayer per year, and gifts of $100,000 may qualify for Florida’s matching gift program. For specific information, call (352) 273-0640.
From Ohio State to Titletown
Of all the law schools in the land, Sara Grimm decided to leave Ohio State University to work at the university that defeated Ohio State in national basketball and football championships. As UF Law’s new director of annual fund & stewardship programs, she says it’s an entertaining topic of conversation as she meets alumni across the nation.
“At the championship football game, being a Florida native, my fiance and I both wore our Gator gear to the parties in Ohio,” said Grimm. “We were also the only two happy people at the end of the game.” Grimm previously served as assistant director of development for reunions at the Mortiz College of Law at Ohio State. In her current role she is managing the annual giving program for the college, supporting the Law Alumni Council, and coordinating gift acknowledgement processes and stewardship efforts. She is a graduate of Penn State University.
Grimm is in for another big change as well. She is a former professional figure skater and skating instructor who will not find many ice skating rinks in North Central Florida.
“Although I spent more than 22 years in ice rinks skating, I’m enjoying thawing out and practicing my golf game and scuba diving,” she said.
Scholarship Fund Among Generous Gifts
The memory and distinguished career of Edwin Presser (JD 58), the founder of Jacksonville law firm Goldman & Presser, is being honored by three former colleagues and his son, Stephen. The donors have given $668,000, which will be matched by state funds to the Edwin Presser Scholarship Fund for law students, with a preference given to students wanting to practice in the field of public interest law.
Other recent gifts were funded by:
• Stearns Weaver Miller Weissler Alhadeff & Sitterson P.A. Student Professional Development Endowment The spendable income from this $100,000 fund will be used to support teaching, research and programs that enhance the leadership and professionalism of law.
• Jim Theriac (JD 74), who contributed $100,000 in an unrestricted bequest.
• W. Kelly (JD 66) & Ruth Smith, who provided a cash pledge of $50,000 to be used in an unrestricted endowment.
• Norton, Allen & Blue PA, which endowed a $50,000 Book Award in Employment Discrimination, which will honor the top student in that course in perpetuity.
• John (JD 82) & Ultima (JD 80) Morgan, who provided a cash pledge of $100,000 with purpose TBD.
Alumni Gather for Fun and Networking
It’s true that The Gator Nation is everywhere, and better yet, its UF Law citizens are organizing more often to have fun and network with each other. Most recently, alumni in Orlando and Tampa reached out to stay connected with other alums. Brent Gordon (JD 04) organized a social in Tampa, and Sarah Rumph organized an event in Orlando.
“Planning these events has been really rewarding. I’ve met so many of our wonderful alumni, and their dedication to the profession and enthusiasm for UF never ceases to amaze me,” said Rumpf, who added that they are already planning the next Orlando event for Feb. 28, 2008.
Kelley Frohlich, senior director of the Office of Development at UF Law, said her office will provide advice on arrangements, including contacting alumni living in the designated area.
“We know that alumni really enjoy these events, so we are happy to work with organizers to provide information and tips on how to sponsor an event in their area. There are lots of benefits to staying connected with the law school and each other, so we encourage this type of alumni initiative,” Frohlich said.“Sarah and Brent did a phenomenal job of getting the alums together in their area, and we hope to see more of this around the state and nation.”
Macdonald Prize Awarded
The winner of the W.D. Macdonald Prize this year is Daniel Glassman from West Palm Beach. Working on his master’s in tax law at UF, he will graduate in May and work for Gunster, Yoakley & Stewart in West Palm Beach, focusing on business and corporations tax law. The award of $3,000 is presented each spring to the graduate with the highest cumulative law school average.