We have a nonprofit and would like to separate our property from the nonprofit without losing the tax exempt status on the property . The real estate taxes are extremely high and would cause us to have to rethink our mission. But in these volatile times it seems that no good deed goes on punished. We’re OK so far I’m not being paranoid just observant
Judy, be careful! If you take one property out of a tax-exempt trust you are liable to trigger a taxable event. You may be able to transfer out of the primary trust to another tax-exempt trust without tax consequences but you definitely will have a problem if you take it out of the primary trust and into your names individually OR into a trust that is NOT tax exempt. Ask your CPA for details.