U T Foundation: Giving Unconventional Gifts or Property

Unconventional • Annuities • Grants
Donor Advised Fund • Investment Pool for Special Endowments

In addition to gifts of cash and marketable securities, the UT Foundation can accept unconventional gifts such as real estate, personal property, leases, working interests, oil royalties and even equipment such as corporate aircraft or boats. These assets are typically converted to cash and reinvested in securities, although certain oil- and gas-producing interests are retained by the Foundation.

The UT Foundation’s acceptance of gifts other than cash and marketable securities offers several advantages to you, the donor:
• You are spared the liquidation process
• Your gift generates an itemized tax deduction.
• With gifts of highly appreciated assets, the capital- gains tax is avoided.

In 1974, a doctor from Corpus Christi wanted to honor his son who had been killed in Vietnam. Over the years, the doctor had accumulated a fine collection of Texana literature, consisting of rare books and pamphlets. He wanted to use the collection to fund a scholarship in his son’s name at UT Medical Branch (UTMB) in Galveston. The doctor donated his collection to the Foundation, which sold it to a collector and distributed the proceeds to UTMB. The doctor incurred no capital-gains tax liability, and the endowed scholarship fund continues to provide financial aid to medical students today.