Gifts of Stock
Gifts of appreciated long-term stock are a smart, tax-wise way to make a direct contribution or fund a trust or gift annuity. Such gifts entitle the donor to two financial benefits.
No tax needs to be paid on the gain.
The full fair market value on securities on the date of the gift deductible as an itemized charitable deduction for federal income tax.
In order to qualify as long-term holdings, stock must be held more than one year. Since the long term holding period is subjected to change, contact your tax advisor for current rules.
Contributors who give long-term stock can claim the resulting charitable contribution deduction up to 30 percent of their adjusted gross income in the gift years, with carry-over of any excess deduction for up to five succeeding tax years.