By emam_hossain On 26/12/2021
If you have owned a timeshare for any amount of time, you’re familiar with the ever-rising costs. Maybe you were OK with the annual maintenance fees, special assessments, and arcane rules at the beginning. But now your needs have changed, and you just want to be rid of the burden of your timeshare. There are a lot of ways to do that, but not all of them are equal.
One method that some companies have been aggressively advertising is donating your timeshare to charity. This can take a variety of forms, from a direct donation to a company that could use the accommodation to a company that will sell the unit and give the proceeds to the cause of your choice.
This option can sound attractive. In theory, it can get you out from under escalating fees and costs. Donation companies also advertise the ability to get a nice income tax deduction from the IRS when you file your taxes the next year. Donating timeshares, however, is not as easy as it sounds. Nor is the tax benefit, if it’s even available, as large as you probably hope it is.
In this article, we will look at the reality of donating timeshares and how the process really works. We’ll also turn a critical eye to that deduction on your tax return. Just how big is it, really? How much trouble is it to claim? Finally, we’ll look at other legal, ethical options for exiting your timeshare that are preferable to donation.
The Process of Donating timeshares
donating timeshares: Woman watching an elderly woman sign a document
The United States government, through the IRS, encourages charitable donations by taxpayers by subsidizing those donations using money that would otherwise be collected as federal income tax. The thinking goes that if you are going to donate something of value to a charity, the value of that donation can be subtracted from your taxable income that year.
Donations are typically made to 501(c)(3) charitable organizations. These are companies that are designated under tax law as non-profit organizations that are exempt from paying federal income taxes. These include churches, other religious organizations, and private foundations.
This process is easy to understand for many of the goods and property we donate to charity. If you donate 10 shirts to charity, with each valued at $2, then the total amount of your charitable donation is $20. The same idea applies to more complicated donations, like houses. In order to tell what the value of real property is, though, an appraisal is usually needed.
Timeshare property interests are even more complicated in terms of valuations. First, they are fractional ownership rather than traditional real estate, so their value is both less than full ownership and more complicated to determine.
Second, timeshare ownership comes with annual maintenance fees and other obligations. Because it’s unlikely that the donor (you) wants to keep paying those costs after the donation, you will be passing them on to the 501(c)(3) organization that you want to help. This continued cost means you may even be costing the charity money with your donation!
Also, keep in mind that timeshare donation companies typically aren’t working for free. They may charge you processing, recording, or transfer fees that could cost you thousands of dollars. They’ll likely tell you that this cost will be offset by the tax deduction you will receive. A realistic examination of the tax deduction process, though, will show this to be unlikely.
So, let’s look at what a timeshare donation may actually get you in terms of a tax deduction.
By emam_hossain On 18/10/2021
On blockchain networks like Ethereum, Polygon, or Binance Smart Chain (BSC), a new cryptocurrency token is being created every minute. These initial coin offers (ICOs) are largely a sham, operated by fraudulent developers, and the vast majority of them are scams. Rugpull is the most frequent cryptocurrency scam at the present, as scammers are continually coming up with new schemes to defraud consumers. Pulling off this particular scam is in fact very easy. Decentralized exchanges like UniSwap, Quickswap, and PancakeSwap, which let investors buy and sell tokens quickly, require token developers to construct liquidity pools. A new token is introduced by fraudulent crypto developers, who then create a high-value liquidity pool, engage in aggressive marketing, and attract a large number of investors before removing the liquidity pool and leaving buyers with worthless tokens.
The developers give up their withdrawal rights when they move the liquidity pool tokens to a time-lock smart contract. Token developers and investors alike benefit from this feature known as liquidity lock, which allows them to build the legitimacy of a project. Liquidity locking is an idea that has spawned numerous platforms that offer it. Liquidity lockers to watch in 2021 include the following:
Token and liquidity locking services are provided by Unicrypt Network, a multi-chain platform. It was released in 2020. There are some handy features like progressive locks and ownership transfer on this locker, despite it being an outdated implementation. Over 3000 projects have already adopted Unicrypt locker. Despite this, the biggest drawbacks of the Unicrypt vault are its poor user interface and astronomical prices. Token producers must burn Unicrypt utility tokens in addition to paying the hefty flat price charged by Unicrypt.
Unilocker which supports all major networks: Ethereum, Polygon, and Binance Smart Chain (BSC) is the market's newest entry. Despite its infancy, Unilocker is widely becoming popular. Liquidity pool tokens can be locked instantly for Uniswap V2, Quickswap (a fork of Uniswap on Polygon) or Pancakeswap (a fork of Uniswap on BSC). This modern liquidity locker provides unarguably the most intuitive interface. Unilocker enables developers to configure their lock period and lock amount using interactive sliders and one-click buttons. The whole locking can be completed within minutes. Once locked, a lock certificate is available to share on social media and with your investors. The management of lock is just as easy as the locking itself, you can unlock, increase lock amount, extend lock period, transfer ownership - using the same intuitive interface. And, all of this is available at an unbelievably low price.
Today, new innovative cryptocurrency projects have a lower entry barrier. New investing alternatives have emerged for the general population as a result of this progress. However, On the other hand, the presence of fraudulent developers has dented investor confidence. For today's investors, liquidity locking represents the absolute minimum level of security. Platforms like Unicrypt, which have long been dominant in the liquidity lock provider industry, have been seriously threatened by Unilocker. The feature set, intuitive interface, and affordability of Unilocker make it stand out from the crowd. It's currently the most effective platform for locking down liquidity pool tokens on all the major networks.