The U.S. stock markets are at all-time highs. One of the advantages of owning stocks is that they can work for you in a way you may not have considered. When you make a gift of an appreciated stock to a qualified charity such as Samford University, you can benefit in several ways, says Randy Pittman, Samford’s vice president for university advancement.
He listed the following benefits of giving appreciated stock:
* Donors can receive an income tax deduction for the full current value of the transferred stock.
* They can avoid capital gains tax, regardless of how much the stock has appreciated.
* They can avoid the healthcare tax on net investment income.
“If you own stock that has grown in value and wish to sell and are looking for a way to avoid owing capital gains tax, consider making a gift of your stock to help further Samford’s mission,” said Pittman. “Your gift could have a big impact on the university’s ability to help students succeed.”
Many donors make such gifts as the end of the year nears in order to realize their tax benefits during the current year, he noted. He also encourages donors to discuss this with a financial advisor and a tax professional before making the gift.
For assistance in making a stock transfer, contact the Samford Office of Advancement at 205- 726-4266 or 205-726-2366.