What are the tax benefits of a donor advised fund?

A donor to a Community Foundation donor-advised fund receives the most favorable charitable income tax
deduction treatment, as the fund is considered a component of the Community Foundation, which is a public
charity. You can deduct the full amount of a cash contribution p rovided the deduction does not exceed 60% of your adjusted gross income.

You may also gift appreciated, long-term marketable securities to a donor-advised fund, though the deduction may not exceed 30% of your adjusted gross income, and not recognize the inherent gain. Any amount you cannot deduct in the year of the gift may b e carried over for deduction during the next five years.

There is no requirement to file an annual tax return or other regulatory forms as the fund is included in the filings of the Community Foundation.