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please help! Mary has large assets, but little reportable income. Because of her previous and continuing charitable gifts out of hes assets, she has accumulated
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Mary has large assets, but little reportable income. Because of her previous and continuing charitable gifts out of hes assets, she has accumulated so much in charitable gift deduction carryover that additional charitable giving will generate no additional income tax deductions for her. Among her many assets, she has closely-held stock currently valued at $1,000,000. Due to a shift in management objectives, she anticipates that this stock will begin paying $100,000 annually in dividends for the next 11 years. In addition to her other charitable giving, she plans to give these $100,000 annual dividends to her charity for the next 11 years. Atter that, she would like to gift these shares to her children. Due to previous gifting to children, Mary currently pays the top tax rate (40\%) on any gift transfers to children. Assume the current s7520 rate is 1K. Assume that Mary will pay income taxes for future dividends at a 40% combined state and federal rate Step by Step Solution
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