What is a Donor Advised Fund?
- A donor advised fund (DAF) provides your clients with a tax efficient means to support their favorite causes.
- It allows individuals, families, and businesses to make an irrevocable gift to a 501(c)3 public charity such as the Community Foundation for Southern Arizona (CFSA) and receive an immediate tax deduction.
- The fund grows tax-free and clients can make grant recommendations at any time to organizations classified as a public charity.
What assets can be contributed to a Donor Advised Fund?
- Gifts of cash, stocks, bonds, mutual funds, gifts of real estate, life insurance policies, charitable remainder trusts, charitable lead trusts, and other tangible property can all be contributed, so long as those gifts meet the guidelines of the CFSA’s Gift Acceptance Policy.
- Many donors prefer to contribute appreciated assets such as marketable securities to obtain a tax deduction for the fair market value of the asset on the date the gift is made and avoid paying taxes on the gain.
- Most charitable gifts to donor advised funds qualify for maximum tax advantage under federal law.
Ready to get started? Click here to download a fillable enrollment packet.
Please send completed agreements to:
Mark Montoya, Vice President of Operations