Joe,who is in the 33% tax bracket in 2011,expects to retire in 2012 and be in the 25% tax bracket.He plans to donate $50,000 to his church.Because he will not have the cash available until 2012,Joe donates land (long-term capital gain property)with a basis of $10,000 and fair market value of $50,000 to the church in December 2011.He reacquires the land for $50,000 in February 2012.Discuss Joe's tax objectives and all tax issues related to his actions.

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The Answer of Joe,who is in the 33% tax bracket in 2011,expects to retire in 2012 and be in the 25% tax bracket.He plans to donate $50,000 to his church.Because he will not have the cash available until 2012,Joe donates land (long-term capital gain property)with a basis of $10,000 and fair market value of $50,000 to the church in December 2011.He reacquires the land for $50,000 in February 2012.Discuss Joe's tax objectives and all tax issues related to his actions.

Joe,who Is in the 33% Tax Bracket in 2011,expects to Retire