A bargain sale is actually partly a sale and partially a gift, because a particular asset is sold to GW for an amount below market value. Gifts of real property with a retained life estate With this type of irrevocable gift of real estate, you retain the right to the full use and enjoyment of your house, farm or ranch for life. You may wish to consider this kind of gift if the real estate represents only an incidental portion of your estate. Because the property is conveyed now subject to the life estate, this gift qualifies for a current income tax charitable deduction for the present value of GW's future right to the property. We urge you to consult with qualified professional counsel regarding gift plans and your financial, tax, and estate planning options before making a gift.
State laws govern many of the principles mentioned here.
GW and its development staff provide general information only and do not offer legal, financial, or tax advice. All conversations held between prospective givers and the office of Major and Planned Gift Programs are, of course, held in confidence and without obligation.