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I'm curious - is this making charitable donations in lieu of taxes on the gains?
by loceng 9y ago
I'm curious - is this making charitable donations in lieu of taxes on the gains?
- natalyarostova 9y agoI think you should do a little research on how cap gains taxes interact with charity, it's not how you think.
- loceng 9y agoDo you know differently or it's different in your area - https://news.ycombinator.com/item?id=15919075 https://news.ycombinator.com/item?id=15919075 ?
- dba7dba 9y agoI am not curious. One could be buying up through bred horses or $$$ paintings to avoid tax. I much prefer this kind of financial maneuvering to avoid paying tax. Well done.
- TomVDB 9y agoHow would you avoid tax by buying horses or paintings?
- garmaine 9y agoYou don’t. Those are considered collectible items and actually get taxed at a higher rate than other property.
- AgentME 9y agoI think I remember hearing about a common trick of buying a painting, holding it for a while, getting it appraised by someone who deems that the value has gone up to a bigger amount, donating the painting, and then you get tax breaks based on the appraised value, even if that appraised value is much higher than anyone else is actually interested in paying. Granted, I can't remember if you're supposed to actually be able to turn a profit by doing this trick, or if it just makes it a little cheaper for rich people who want to temporarily own fancy things.
- pcl 9y agoIt’s harder to do in the US, but many European countries treat gains on art and real estate etc. very differently than gains on share prices.
- ringaroundthetx 9y agoyou can donate appreciated assets to registered charities and this does allow you to avoid the capital tax AND also get a charitable tax deduction
- voidmain 9y agoThis is limited to 30% of your income ("AGI"), however. (I am not your tax advisor. Please don't take tax advice from random internet people.)