APPRECIATED SECURITIES
Give appreciated securities to the Foundation for the Diocese of El Paso and you shall receive -- a tax break.
Whether it's 100 shares of blue-chip stock or a new high-tech gadget, the government allows you to deduct the gift of stock as a charitable donation. Giving a gift of appreciated stock also helps you avoid capital gains tax on the transfer. This double benefit means that you can leverage a larger donation by using appreciated securities rather than cash to make your gift.
The most common appreciated asset, and the easiest to donate, is marketable stocks and bonds. Your gift will be valued by averaging the high and low prices for the stock on the date of the transfer to us.
Example:
Assumptions: Donor in 33% Income Tax bracket; Capital Gains Tax rate 15% |
|
$10,000
Cash |
$10,000
Stock
Cost Basis $5,000 |
$15,000
Stock
Cost Basis $7,500 |
Charitable Deduction |
$10,000 |
$10,000 |
$10,000 |
Tax Savings @ 33% |
$3,300 |
$3,300 |
$4,950 |
Capital Gains Tax Saved |
$0 |
$750 |
$1,125 |
Net Cost of Gift |
$6,700 |
$5,950 |
$8,925 |
For more information or a copy of the stock transfer form, contact the Foundation for the Diocese of El Paso at 872-8412. Ask to speak with the Catholic Legacy Fund staff representative to set up an appointment.
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