how to donate highly appreciated stock
Donating highly appreciated stock is a tax-intelligent way to support a cause you care about and make the most of your dollars.
Making the donation is easy!
HOW THE DONATION PROCESS WORKS
IDENTIFY a stock(s) you own that has appreciated in value
TRANSFER the position from your brokerage account to CSBE’s account
DOCUMENT - get a receipt and maintain for your tax records
BENEFITS OF DONATING STOCK VS GIVING A CASH DONATION
EXAMPLE:
Assumptions: Cost of stock = $5,000 | Current FMV = $50,000 | Capital Gains Tax Rate = 20%
considerations:
Discuss the benefits of this strategy with your CPA or accounting professional
Stock must be donated directly to a 501(c)(3) qualified U.S. charity
Deduction limited to 30% of AGI, with excess carried forward for future years
Maintain records of your donation