Charitable Giving of Securities to Eliminate Capital Gains

Giving while reducing taxes
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Consider Charitable Giving as Part of Your Year End Tax Planning

A donation of securities or mutual fund shares is the most efficient way to give charitably. With a donation of securities or mutual funds, capital gains tax does not apply, allowing you to give more and avoid paying capital gains taxes. Donating publicly listed stocks and securities is a cost effective and easy way to increase the impact of your gift and provide lasting change in the lives of impoverished people helped by S.H.A.R.E. projects. When you donate stocks and securities you receive a double tax benefit—you receive a charitable tax receipt for your gift, and you eliminate the capital gains tax on your appreciated stocks and securities.

Advice on Tax Matters

Every person's situation is different, so it is always advisable to contact a taxation professional when doing your charitable giving and taxation planning.

Example of Savings

Sell Shares and Donate the Cash: market value of the securities $10,000. Adjusted Cost Base (securities original cost) $4000. Capital Gain - $10000 - $4000 = $6000. Tax on Capital Gains @ 46% tax bracket $1380. Tax savings $0. Donate shares directly: market value of the securities $10000. Adjusted Cost Base (securities original cost) $4000. Capital Gain - $10000 - $4000 = $6000. Tax savings on donation $1380.

Contact S.H.A.R.E.

S.H.A.R.E. can help you to make the transaction and provide additional information. Contact our Donor Relations Officer - Joe Gray at jgray@shareagfoundation.org or call Joe at: Phone: (647) 887-9419