Gift Securities
Donating appreciated securities to the organization is simple:
- Please contact us at (740) 362-2046 for collecting the stock transfer information needed to process the transfer.
- If your securities are held "in street name" with your broker, you only need to send your broker a letter of authorization to transfer (not sell)
shares of specific stock(s) to the non-profit's main brokerage account. Your instructions
should specify your account number; the date by which you wish to complete the gift,
the name and number of shares you would like to donate; and provide the stock transfer
information.
- If you are transferring stock from a joint account, both account
owners must sign the letter. You can contribute stock from several companies held
within the same account.
- Please send a copy of this letter to Chief accountant,
Vedic Temple, 820 Pollock Rd, Delaware, OH 43015, or email: info@vedictempleohio.org
- Please, check with your broker soon after sending the letter to ensure that the
transfer is complete, especially if you initiate this gift shortly before December 31.
Year-end Considerations
Because of their complexity, securities gifts are best made by December 15.
Tax Advantages
Donating appreciated securities gives you distinct tax advantages. If you own publicly
traded stocks or bonds that have appreciated in value and are long-term in nature
(owned for more than 12 months), you may want to consider the income tax benefits
of giving securities over cash:
Here's how it works:
|
Gift of Stock
|
|
Gift of Cash
|
|
$3,000
|
(current value)
|
$3,000
|
|
1,000
|
(basis-your cost)
|
|
|
3,000
|
(tax deduction)
|
3,000
|
|
1,080
|
(tax savings @ 36%)
|
1,080
|
|
400
|
(capital gains tax savings*)
|
|
|
1,480
|
(total tax savings)
|
1,080
|
|
1,520
|
(your gift cost)
|
1,920
|
*$2,000 gain @ 20% capital gains tax. When you donate appreciated securities, you
owe no capital gains tax on the appreciation.
What about stocks that have dropped in value?
If you own stock which has dropped in value, below your cost, consider selling this asset instead, and donating the proceeds. By selling the asset and then making a gift, you will be able to claim a capital loss deduction on your income tax return, and also claim an income tax deduction for your charitable gift.
Disclaimer: By contributing to the Vedic Temple of Ohio, you acknowledge that the Vedic Temple of Ohio has full control of the donated funds and full discretion to insure that they are used in furtherance of the Vedic Temple's charitable purposes.
|