Gift of Grain Fund
Gift of Grain Fund
Lower Your Taxes While Helping Local Agricultural Programs
Farmers looking to minimize their tax liability and contribute to their community can donate crops to the Richland County Foundation at local elevators. Grants made from the Gift of Grain Fund go to Richland County agricultural-related nonprofits like FFA and 4H. It is a wonderful way to help our neighbors and help yourself come tax season.
Why give grain instead of cash?
Donated grain is not recorded as income; you may save all or some of the following taxes: self-employment taxes, federal, state & local income taxes. Available for cash basis farmers only.
You may minimize costly tax deduction phase-outs.
Some tax benefits are taken away at higher levels of adjusted gross income (AGI). These benefits are retained when you give grain rather than cash.
You may receive additional tax benefits.
IRS rules limit charitable contribution deductions to 50% of your AGI. (The percentage is 10% for C-corporations.) Since the donated grain is not reported as income, by giving grain rather than cash, you can, in effect, give more and save more taxes than those limits allow. This is helpful either if you are especially generous or if you wish to “prepay” your donations in a given year.
The grain you give will not count as income in your government payments limitation caps calculation.
You may be able to effectively redirect significant sums of money from the government to causes you would rather support. If you are a high-earning farmer, please contact us for more details.
Before donating a gift of grain, contact your CPA or tax adviser to discuss your personal tax implications.
Resources
Contact
For more information, please contact Chief Advancement Officer Maura Teynor or call 419-525-3020.
