If they have grown in value and you've held them for more than one year, there are some substantial tax benefits to you. You will receive a tax deduction for the fair market value of the security on the date of the gift, but you probably paid a lot less for it. Thus, you can avoid capital gains taxes that would otherwise be due on the sale of the securities. If your stocks and bonds are worth less than when you bought them, you can sell them, take a tax deductible capital loss, and contribute the proceeds to us so we can put them to use immediately. With some restrictions, policies that are paid-up may be deductible as gifts.
Many people own real estate.
It's also possible to retain the use of the real estate for life, even though it has been contributed. This is a way of getting real estate out of your taxable estate while at the same time ensuring that you can maintain use of it for as long as you wish. This is true of other appreciated assets, as well. The Charitable Remainder Trust is a special program approved by Congress. Whether real estate, securities, or other assets, the CRT can provide a steady stream of income for life, a significant tax deduction in the year it's set up, an avoidance of capital gains taxes, and a way to bequeath the value of the asset to your heirs.