          
          
          
          Tax Exempt Family Foundations:
          
          
               A trend that may increase the attraction of the
          charitable remainder trust is the U.S. Congress'
          constant fiddling with the tax code.
               While CRTs are not in any danger, as of January 1,
          1995 the tax avoidance value of contributions of
          appreciated property to a tax-exempt qualified family
          foundation has undergone a profound change.  Prior to
          that date the worth of such gifts was calculated at
          current market value for charitable income tax
          deduction purposes.  Now they will be valued only at
          original cost to the donor, a considerable come down in
          tax advantage.  The prospects of a congressional move
          to repeal this change are uncertain at best.
               Of course such appreciated property gifts can
          obtain full current market value deductibility if
          donated to a qualified CRT, and in a sense while the
          money saved may not go to a family foundation, it will
          still be "all in the family."
          
          
          
