The CRAT Is Back

Supper, William J.; Cocozza, Christopher R.
May 2006
Journal of Financial Planning;May2006, Vol. 19 Issue 5, p38
Academic Journal
The article discusses the financial benefits of charitable remainder trusts. Charitable remainder trusts provide a tool to potentially avoid paying capital gains tax, receive a charitable income tax deduction, generate an income stream, and help a charity, all at once. The trusts were extremely popular for financial planners in the 1990s, but the low interest rates and stagnant stock market of the early 2000s caused them to fall out of favor. Rising interest rates in 2006 have made charitable remainder trusts viable investment options once again.


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