A charitable remainder trust is similar to a charitable remainder annuity trust except that the grantor does not receive a set amount of income during their life; they retain the use of the property and or receive income from it until they pass away. Beneficiaries named to the charitable remainder trust receive income from the trust and the charity receives the principal after the donor is deceased. In a charitable remainder trust the donor avoids paying capital gains tax on the donation and also receives a tax deduction on the remainder interest that the trust earned. This deduction is based on the fair market value. The donor also retains control of the charitable remainder trust and can change the charitable recipient at any time as long as the recipient is a qualified charitable organization.