Gifts of Stock
Donating appreciated securities is one of the most tax-wise opportunities available. In addition to receiving an income tax deduction for up to full market value of the gift, you can also avoid capital gains tax you would have had to pay if you sold the asset instead.
Case Study
Cash Gift:
Rusty Rover has been a supporter of Bideawee for years and is looking for a way to give more. He would like to now make a gift of $10,000. If Rusty writes a check to Bideawee for $10,000, he will receive a charitable tax deduction. If Rusty is in the income tax bracket of 35%, he will reduce his taxes by $3500 ($10,000 X 35%). The net cost of the gifts to Rusty is $6500 ($10,000-$3500).
Stock Gift:
Now, instead of donating cash, Rusty decides to give $10,000 of publicly traded stock he purchased ten years ago for $2000. He will be able to claim a $10,000 charitable tax deduction, just like for the gift of cash, reducing his taxes again by $3500.
In addition, Rusty can now avoid paying capital gains tax on the $8000 long-term gain he would have had to pay had he sold the stock, rather than donating it. Assuming Rusty is in a capital gains tax bracket of 20%, he would have paid capital gains taxes of $1600 ($8000 x 20%).
By donating the stock, he eliminated the tax liability and the net cost of Rusty's gift is reduced to $4900 ($10,000 - $3,500 - $1,600).
How Much More Can You Give and Save by Donating Stocks?
Use our online calculator to see how much more appreciated stock you can donate for the same after-tax cost as giving cash. It will take less than five minutes and you can affect a lifetime of change for dogs and cats in need.
Please check with your financial advisor to see how stock donations can benefit you. For more information on giving gifts of stock, please contact Bideawee's Development Department at donate@bideawee.org or 212.532.6395.
Transfer your securities online:
Bideawee now accepts gifts of appreciated stocks and mutual funds online using web-based technology powered by AssetStream, which uses state-of-the-art Internet security and firewall protection.
You can make your gift online in less than five minutes. Having a copy of your investment firm account statement available will expedite this process.
Click on the "Donate Stock" button to make any of the following gifts to Bideawee:
- Stocks held at your brokerage firm
- Mutual funds held at participating firms
- Stock certificates
Stocks held at a brokerage firm:
Please use the following information when using your broker to transfer stocks:
DTC # 308 to Bideawee Home Association, Inc., account #302-00160
Lazard Capital Markets, LLC
30 Rockefeller Plaza
New York, NY 10112
Tax ID No.: 13-1655210
It is important that you or your broker notify us via FAX, letter or telephone that the gift is being electronically transferred into our account, as the stock transfer will arrive without identification. We will not be able to provide you with a receipt for tax purposes without this information.
Mutual Fund shares
If you would like to transfer shares of a mutual fund to Bideawee, please contact us first as every mutual fund company has different procedures.
Contact information:
Bideawee
Attn: Planned Giving Director
410 East 38th Street
New York, NY 10016
866.262.8133
FAX: 212.532.7294
