Securities - Stock Transfers
Securities, like stocks, bonds, and mutual funds, often provide greater tax benefit to the donor than a gift of cash. A gift of appreciated securities offers the donor two significant advantages:
||You avoid paying capital gains on the increased value of the stock. |
||You receive a charitable deduction for the full fair market value of the stock when the gift is made. In order to do this, your stock generally must have been held long-term (more than one year). Gifts of appreciated securities are fully deductible up to a maximum of 30% of your adjusted gross income. Anything more can usually be carried forward and deducted over a maximum of five subsequent years. |
Securities that have decreased in market value from the time of purchase may also be used to make a gift to The Citadel Foundation. If the securities are sold and the college receives the proceeds, the donor may deduct both the contribution and the loss.
Gifts of securities are valued at the market value on the date they are transferred to the Foundation's account. For publicly traded securities, market value is computed as the average of the high and low market prices on the date of transfer. <<stock transfer procedures>>