Gifts of Securities
Giving long-term securities offers a tax saving benefit in that you avoid paying any capital gains tax on the increase in value of your security. It is important that to receive the tax benefit, the donor should not personally sell the security, but transfer it directly to Adopt-A-Dog’s account for the organization to sell.
- You purchase 20 shares of XYZ at $20 for a total value of $400.
- The XYZ share price increases to $50, bringing the total value of your investment to $1,000.
- If you sell the shares and donate the $1,000 to Adopt-A-Dog, you will receive a deduction for the gift but will also have to pay capital gains tax on the $600 increase of the investment.
- On the other hand, if you donate the 20 shares of XYZ directly to Adopt-A-Dog directly, you receive the same $1,000 deduction but will not ever have to pay the capital gains tax.
Instructions for stock transfers:
Account Name: The Vanguard Group
Account Number: 17134102
DTC Number: 0062
Federal Tax ID: 06-1045973
It is Adopt-A-Dog’s policy to sell all stock donations immediately upon receipt. Therefore, prompt notification of a stock gift is critical.
Please be sure to notify Kristen Alouisa, Executive Director, at (914) 273-1674 ext. 103, with the information regarding the name and number of shares sent.