FundSvcs Community

We received a check as benefit proceeds (from an annuity) from a donor who passed away in late 2024 (gift received in 2025). I'm thinking I would send our standard (major gift) combined thank you letter/tax receipt addressed to the donor's estate (c/o attorney handling the estate). Is that correct? The check states a gross amount and net amount (though both are the same) but it also states a "Federal Taxable Amount" equal to about 82% of the gross amount (substantial). I thought that the full amount of the check should be considered a charitable gift, but am confused by the taxable amount being listed on the check stub. I recorded this gift (full amount) and linked it to the planned gift. I appreciate any help on correctly processing it and the correct amount to acknowledge in our letter.

Wouldn't the entire amount be considered a charitable gift?

Many thanks in advance for your help and/or validation :-)

Margaret (Margie)

Thanks for the quick reply John! I'm pretty certain it is not a CGA, but an annuity (similar to insurance?) that was owned by the donor with us listed as the death benefit beneficiary (clearly I need to ask for the additional paperwork from the Finance Office besides copy of the check) Should have done that before posting my question! But I believe it is a lump sum death benefit payment to the University. I will do some more internal research and then have the GO reach out to the attorney if/as needed. Again, very much appreciate your advice on this list. I learn so much from you and others; now I'm finally coming out of my shell and posting a question. Feels good :-)