What Are Charitable Annuities? 
A Charitable Annuity is a Charitable Gift Annuity , an insurance product used estate planning for those benevolent grantors who have charitable intentions and seek tax advantaged income . It involves a contract between a grantor/donor and a charity . The grantor gifts cash or other assets to an IRS approved nonprofit charity , receives for a partial tax deduction and a lifetime annual income from the charity . When the grantor/donor dies , the charity keeps the gift . 