Charitable gift annuity deduction
This clause allows you to apply the annuity annual gift tax exclusion to the yearly value of income distributions to the beneficiary annuitant.
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If the gift annuity agreement specifies that the annuity will be reinsured in this manner and names the reinsurance saltgrass company, the donors charitable deduction is figured by subtracting the amount paid by the charity for the commercial annuity from the amount transferred by the donor.
Supporting an organization you care about.
Your college probably offers a complex annuity menu of semi-philanthropic investment deals.
It is not possible, therefore, to know exactly how much of each annuity payment will be excluded from taxation in the case of a deferred gift annuity until that time.