Coordinating with other advisors? Clients depend on it
A message from the CICF Collaborative, including Central Indiana Community Foundation, Hamilton County Community Foundation, IMPACT Central Indiana, the Indianapolis Foundation, and Women’s Fund of Central Indiana
Clark Collier, CAP®, CICF Director of Giving Strategies
Most clients rely on a team of professionals to guide them through tax, legal, and financial decisions. Even when everyone is competent and well-intentioned, it can be surprisingly difficult to keep conversations aligned. Clients may hear excellent advice in separate meetings yet still feel as though the plan is fragmented. Unless professionals proactively strive to work together, the client is often left to connect the dots.
Recent Tax Court decisions underscore why charitable giving is an area where attorneys, CPAs, and financial advisors not only must operate as a coordinated team rather than in parallel silos but also should consider involving a philanthropic partner – such as the community foundation – as a facilitator.
In both Cade v. Commissioner and Besaw v. Commissioner, the taxpayers’ charitable intent was clear, yet the deductions failed because critical substantiation and valuation steps were missing or incomplete. These cases highlight a common professional blind spot: each advisor may assume that someone else on the team is handling valuation, acknowledgments, and Form 8283 compliance.
Attorneys may focus on structuring the gift and legal compliance, financial advisors on asset selection and timing, and CPAs on reporting the deduction; however, when documentation responsibilities are not explicitly assigned, essential evidence such as qualified appraisals, properly completed forms, and contemporaneous written acknowledgments can fall through the cracks. The result is not simply the IRS’s technical adjustment, but instead the complete loss of the charitable deduction!
This is where collaboration (including working with the team at CICF Collaborative) becomes especially important. We can serve as a convener for all advisors to structure a charitable giving plan that meets a client’s goals. Additionally, we keep an eye on legal and policy developments. We’ll pass along any important updates to attorneys, CPAs, and financial advisors to help determine if any impact their clients.
So, please reach out anytime! The CICF Collaborative is honored to be your first call when you are helping your clients set their charitable intentions in motion. It is our pleasure to support your efforts.
About the author
Clark Collier is CICF’s director of giving strategies, working with individuals, families, and their advisors to structure meaningful and impactful philanthropy. As a Chartered Advisor in Philanthropy (R), Clark provides gift planning support and counsel to the CICF Collaborative and nonprofit organizations throughout the region. He previously served as a philanthropic advisor for CICF and in development roles for both local and global organizations.
About the CICF Collaborative
CICF Collaborative is a partnership of philanthropic organizations working together to strengthen communities across the region. Each entity within the CICF Collaborative (including the cornerstone entities, Central Indiana Community Foundation, Hamilton County Community Foundation, IMPACT Central Indiana, the Indianapolis Foundation, and Women’s Fund of Central Indiana) brings deep knowledge, strong relationships, and its own individual, focused mission. The CICF Collaborative unites the entities by providing shared services, allowing the entities to operate more efficiently and effectively. By leveraging what we each do best, we’re able to better serve our communities and create more lasting impact, together. Learn more »
