I am sorry to say that the answer is no. You already booked and counted
this. Appreciation in value is not a new or additional gift. It's really
no different than a donor giving you stock and selling it for more. There
is no "new" gift" nor no new tax deduction. Furthermore, the donor did not
make a campaign gift for this campaign. Per CASE, we should count in
current campaigns only those gifts made during the campaign - not prior
gifts.
There are only three related situations where you could count something
more (per CASE and the IRS):
1. You were initially 1 of several beneficiaries and your percentage of
the estate has changed. You could count the difference.
2. The donor added property to the estate (acreage or other assets) that
increased the value and provided the donor with an additional deduction -
you could count the addition but not the appreciation of the old.
3. The original donation was made in this campaign and the donor has now
died and you realized more.
John
John H. Taylor
Principal, John H. Taylor Consulting
2604 Sevier St.
Durham, NC 27705
johntaylorconsulting@gmail.com
919.816.5903 (cell/text)
Serving the Advancement Community Since 1987
On Mon, Aug 5, 2019 at 3:54 PM Haugo, Gary J <
gary.haugo@mnstate.edu> wrote:
> Good afternoon:
>
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> In 1994 we booked a retained life estate for $254,00. We are currently in
> a campaign and would like to book the increase in value of the property as
> additional gift. The new value according to the tax records is $856,000.
> Can we count the $602,000 as new gift revenue? It could be booked as
> deferred pledged.
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> Thanks,
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> Gary Haugo
>
> VP for Advancement
>
> MSUM Foundation
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