Donations

Legally, setting up a donation generally refers to transferring property, money, or other assets from one party (the donor) to another (the donee) without receiving anything in return. In Louisiana and Mississippi, donations are governed by state law. Types of Donations: Legal Process of Setting Up a Donation. Charitable contributions may qualify for tax deductions if given to a 501(c)(3) nonprofit organization.

​

Types of Donations

1. Inter Vivos Donation – A donation made during the donor’s lifetime.

2. Donation Mortis Causa – A donation made through a will takes effect upon the donor's death.

 

Legal Process of Setting Up a Donation

1. Determine the Type of Donation

-If donating during your lifetime, you need an inter vivos donation.

-If donating upon death, the donation should be included in a will.

2. Draft a Donation Act (if required)

-Movable property (e.g., money, furniture, jewelry, etc.) can often be donated informally unless otherwise required.

-Immovable property (real estate) typically requires a notarial act (a written agreement signed before a notary and two witnesses).

3. Get Proper Signatures & Record the Act

-Real estate donations must be recorded in the public records of the parish (Louisiana) or county (Mississippi) where the property is located.

-Certain donations (like those between spouses) may have additional requirements, such as court approval in some cases.

4. Consider Tax Implications

-Louisiana and Mississippi do not impose a state gift tax, but federal gift tax laws may apply if the donation exceeds annual exemption limits.

 

Charitable donations to a 501(c)(3) nonprofit organization may qualify for tax deductions.