| Over several decades, Ben and Betty built up a significant business wholesaling home and office furnishings. One of their children, a son, exhibited considerable leadership and business management skills. After prayer, Ben and Betty decided it would be wise to pass control of the company to him. But how could they give controlling interest in the business to their son without creating relationship problems with their other children? As they pondered this question, a solution presented itself: the son said he was willing and able to buy controlling interest in the business. But that created tax problems for Bob and Betty. The business had appreciated so much over the years that the capital gain tax on the sale could amount to 25% or more of the value of the transfer! Based on input from New Hope Christian Community Foundation (NHCCF), Ben and Betty contributed a significant amount of their voting stock interest (sufficient to give control) to their Giving Fund at NCF. The son then bought the stock from the fund. This solution allowed Bob and Betty to accomplish the following major objectives: - Avoid personal relationship problems within the family.
- Avoid the substantial capital gains tax they would have incurred if they simply sold their interest to their son.
- Enjoy a significant tax deduction for their gift to the Fund.
- Receive income from the Fund for the rest of their lives, by structuring it to be an important component of their retirement package.
- Give substantial additional amounts to charity now, rather than waiting until their deaths.
Bob and Betty found a solution to their transfer of wealth issue that satisfied all members of the family. Ron Blue, a leading Christian financial planner, suggests that parents employ the “Uniqueness Principle.” This principle advises parents to “love your children equally and as such treat them uniquely.” NHCCF gift planners can help you achieve this goal. | 
