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C H A P T E R F O U R4Gifts of Money and Property§ 4.1 Gifts of Money 125§ 4.2 Gifts of Property inGeneral 126§ 4.3 Gifts of Long-TermCapital Gain Propertyin General 128§ 4.4 Gifts of Ordinary IncomeProperty 128(a) Ordinary IncomeProperty Defined 128(b) Deduction ReductionRule 130(c) Special Rules ofInapplicability 132§ 4.5 Certain Gifts of CapitalGain Property 132(a) General DeductionReduction Rule 132(b) Qualified AppreciatedStock 133§ 4.6 Gifts of Property forUnrelated Use 134(a) General Rule 134(b) Unrelated Use 135§ 4.7 Variations in ApplyingProperty Rules 136§ 4.8 Step Transaction Doctrine 138§ 4.9 Charitable Pledges 142This chapter summarizes the federal tax law concerning the determination of theincome tax charitable deduction for contributions of money or property, whenthe donor is not retaining or creating any interest in the item being transferred.The calculation of this deduction must be made under these rules before applicationof the general percentage limitations. 1 Contributions of money or property,when the donor is creating an interest in the item being transferred, are subjectto other rules. 2§ 4.1 GIFTS OF MONEYAn individual or corporation may make a contribution of money—usually U.S.currency—to a charitable organization. This deduction is based on the amountof funds being transferred.1 See Chapter 7.2 See Part Four. 125