Charitable Lead Trusts are most appealing to wealthy donors who want to pass appreciated assets to their heirs without paying a substantial amount in taxes. This is done by allowing Duke to receive income from the donor's assets for a specified time, after which the asset is transferred back to the donor or to the donor's heirs, who do not have to pay any additional taxes.

The donor does pay a gift tax on the asset when it is placed into the trust, after which it can grow tax-free. A lead trust can, however, reduce gift and estate taxes or provide a charitable deduction for the donor.

For more information on Charitable Lead Trusts, please contact the Office of Gift Planning at (919) 681-0464 or visit http://www.giftplanning.duke.edu.