Give appreciated securities to The Nature Conservancy and you shall receive — a tax break. Whether it's 100 shares of blue-chip stock or a new high-tech gadget, our government does indeed allow you to deduct these gifts as charitable donations. Moreover, you also 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.
Here's how it works:
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 |
The extra tax saved by using appreciated securities instead of cash to make a $10,000 gift is clear. Now look at the results for the $15,000 gift of securities. With total tax savings of $8,925, it costs you just $2,225 more to make this contribution than the $10,000 cash gift ($8,925 - $6,700) — and to deliver 50% more benefit to The Nature Conservancy.
We welcome gifts of publicly traded stocks, bonds, and mutual fund shares. Some donors own stock in closely held corporations. Learn about using business
assets to make a gift. The securities you use to make your gift must have been held by you for more than one year to be fully deductible.
Securities fluctuate in price - how will my gift be valued?
We take the average of the high and low prices for the security on the date it is received by The Nature Conservancy. If the high price was $80 and the low was $70 on the day you made your gift, your gift will be $75 per share.
If the stock you donate is held by your broker, the gift date is the day the stock is received into our account. If you hold the certificates yourself and mail them to us, the gift date is the postmark date on the envelope.
Donors of mutual fund shares use the fund's closing price on the day the shares are received into our account.
Is it difficult to transfer securities?
Not at all. With our details on how
to transfer appreciated securities, we can help you through every step of the process.
Creative plans for securities gifts
Use your gift of appreciated securities to fund a life-income gift at The Nature Conservancy like a charitable gift annuity or a unitrust. Pay no upfront capital gains tax on the transfer, and receive lifetime payments from your gift plan that equal or surpass the dividends the securities are paying now. The result? You make a gift to The Nature Conservancy while diversifying your portfolio and securing a stream of income. |
Contact Us
For more information please request a personal
gift proposal or
contact us so that we can assist you through every step of the process:
Email: legacy@tnc.org
Phone: (703) 841-8788
Toll-free: (877) 812-3698
Fax: (703) 812-4863
The Nature Conservancy
Gift Planning
4245 North Fairfax Drive
Suite 100
Arlington, Virginia 22203-1606 |
