Ray and Anne recently donated shares of AT&T to Caring House. They’re not only generous, they’re smart. We thank Ray and Anne for reminding us of this great way to support the work of Caring House.
Gifts of appreciated securities can be a very “tax-smart” way to make a gift to a charity.
For example, let’s say that you bought ten shares of Surprise Corporation several years ago for $10 each, and each share is now worth $100. Your $100 investment has become $1,000!
If you sell now:
- You’ll receive $1,000, before commissions.
- You’ll have an $900 capital gain.
- You’ll pay $180 in taxes (if your combined Federal and state capital gains tax rate is 20%).
Let’s also say that you want to make a donation of $1,000 to your favorite, worthy charity. Instead of selling, you donate the Surprise shares to the charity. The result?
- A worthy charity receives $1,000.
- You avoid $180 in capital gains taxes.
- You also receive the tax benefit of a $1,000 itemized charitable deduction.
- You’ve done a good thing and saved taxes!
Check with your tax advisor. Whether it’s tax-smart for you to donate a stock to charity depends on your history with the stock and your individual tax situation.
How to donate shares to Caring House
To make your donation as smooth as possible, we suggest that you do it electronically from your brokerage account to the Caring House account. We’ll be glad to send you our quick and easy instructions memo. Ray and Anne followed the instructions memo and the donation took only two days!
They avoided capital gains taxes, got a nice itemized deduction and helped improve the end of life experience for men and women and families in our community.
You can reach us by
- calling at (310) 796-6625 ext 1, or
- emailing firstname.lastname@example.org or
- using our Contact Us page.