The credit must be applied in the tax year in which the gift was made. There is no carry back or carry forward provision, but a gift can be made in each year the law is in effect. A gift from an individual must be made through a planned gift. These are gifts are generally used by individuals and families to make an irrevocable commitment of an asset for the future benefit of a charity while retaining the lifetime use or benefit of the asset. The credit flows through to the shareholders or members in the same proportion income is distributed to them.
E states A contribution to a qualified endowment by an estate qualifies for the credit.
Any credit not used by the estate may be passed through to the beneficiaries in the same proportion as each distributive share or income or loss for Montana income tax purposes. If the policy is not fully paid-up, you receive a charitable deduction for your annual premium payments. Name the Foundation the beneficiary of a policy you own or have through your employment. If you have excess group term insurance, you may want to name the Foundation beneficiary of the unneeded amount. There are no lifetime tax benefits from these gifts, but you can make a significant gift to support Montana 4-H youth without estate tax considerations at a modest cost.