Benefactors can even donate assets like bonds or stocks that they've held for a long time and deduct the full fair market value. Since they never converted those holdings into cash, they haven't realized profits, making it unlikely they will have to pay capital gains tax on the asset. These same sorts of practices are also important to estate planning since they can be used to eliminate tax burdens for heirs.
Benefactor vs. philanthropist
Both benefactors and philanthropists set out to do good in the world, but their methods are slightly different. Benefactors primarily focus on donations, often in cash or assets but also in time and knowledge, and largely give directly to charities or individuals.
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