Do you have an older Chicago home for sale? Is your Chicago home in distressed condition? Does your Chicago home need extensive rehabbing? Is your Chicago home a liability you just need to get rid of? Have you considered the altruistic approach to donating your home to charity in Chicago?
Aside from the act of feeling good by helping others, when you donate a home to charity Chicago and the government also provide you with significant benefits and incentives.
Here are just a few benefits when you donate a home to charity in Chicago:
Large tax deduction
When you donate a house to nonprofits in Chicago you may be able to use the cost basis of your house (original purchase value) as a charitable deduction for up to 60% of your adjusted gross income. Another alternative is to use the appreciated basis which is the value of your donated Chicago home today, though that deduction is limited to 30% of your adjusted gross income. In either case these are large charitable tax deductions.
Speak with your financial advisor about donating homes to charity in Chicago.
Avoid capital gains taxes
Capital gains taxes are taxes on the profits from the sale of an asset (like a home) held for more than a year.
Both you and the charity you donate your home to can avoid paying capital gains taxes on the appreciated value of the house you donate to charities in Chicago. Because of this your home is worth more donating to a charity in Chicago than selling your house and donating the money to a charity after taxes.
Reduce estate taxes
A quarter of states have estate taxes with lower limits than the federal governments including Illinois which has a graduated estate tax that can go as high as 16%. You can reduce estate taxes when you donate your house to charity in Chicago. By donating your house to charity Chicago homeowners remove the property from their estates, which can save money on estate taxes, or better lower the value of your estate below the estate tax minimum limits.
When you donate a house to nonprofits in Chicago you are providing a sizable donation to local charities that makes a difference in the community. Donating a house to charities in Chicago also helps to reduce your taxes as well as a potential tax burden on the inheritors of your estate.