Charitable Remainder Trust & Charitable Lead Trust Services

By creating a Charitable Remainder Trust you will be able to give generously to charity, receive lifetime income and receive substantial income, capital gains and estate tax savings.  Once you set up a trust and give the property you wish to donate to the charity, you lose legal control of the property.  In return, the charity will pay you or your beneficiaries income for a certain number of years or until your death.  At the time of your death, the property is then owned by the charity. 

CTAC provides the services to meet the needs of Federal and State requirements for all types of trusts.  Our knowledgeable staff provides accurate and current information in order to maximize benefits for the income and remainder beneficiary.  Throughout the year, we review the investment and distribution activity for reporting purposes and to ensure the provisions of your trust document are met. 

Set-up & Implementation Services

  • Review entity provisions and enter pertinent data into administration system
  • Analyze gifts for suitability as an asset for the fund
  • Advise the trustee regarding related issues or concerns
  • Ascertain the cost basis and holding period for all fund assets from information provided by the trustee
  • Collect legal, financial, and tax documents and records used to establish the entity and its relationship with the trustee, trust administrator and investment manager(s). 

Administration & Operation Services

  • Monitor and adjust trust distributions based on trust provisions, asset valuations and additional contributions (if permitted)
  • Obtain and record trust financial transactions received from investment manager(s)
  • Review all investment transactions for accuracy and IRS compliance
  • Determine tax character of each financial transaction
  • Determine allocation of trust earnings to principal and income based on trust provisions and applicable accounting rules
  • Request and coordinate the receipt of the distribution amount to be paid to trust beneficiaries by the investment manager(s)
  • Monitor cash position of trust for payout purposes and transmit trust distributions to beneficiaries
  • Secure all accounting records pertaining to the trust
  • Monitor opportunities for beneficial financial and tax planning made possible by the trust provisions and trust investment performance
  • Preparation and filing of IRS Form SS-4, Form 5227 and supplemental schedules, Schedule K-1 and supplemental schedules, Form 8283 (for publicly traded securities only), Form 8282, Form 4720, tax forms and schedules

Client Communication Services

  • Trust valuation report
  • Report annual distributions
  • Summary accounting of fund activity, including receipts (by tax character of income), disbursements attributable to the fund amounts, expenses, capital losses, and the unrealized appreciation in the market value of assets
  • Detailed sub-account for each fund
  • Internal communication for the trustee’s internal auditing purposes

Marketing Assistance

CTAC offers optional marketing support as a supplement to all administration services provided.  Trained professionals will meet with and train volunteers and staff of the organization to increase donor participation in their planned giving programs.  For an additional charge, CTAC can help the organization create and implement marketing strategies such as illustrations, brochures, direct mailings, newsletters, and scripts.  Essentially this service is ideal for smaller organizations or organizations with a limited number of staff members.