Support Military Families
Through a Gift of Securities
(Stock, Mutual Funds, Bonds)
Did you know that you can receive significant tax benefits by donating appreciated stocks, mutual funds, or bonds to charity? A gift to United Through Reading of appreciated securities means you can support our important work and avoid paying capital gains tax, which can be a significant saving for highly appreciated assets.
What is the benefit of donating stock?
Avoid capital gains tax
Gifting stock avoids federal capital gains tax and most donors can also claim an income tax deduction for the stock's full market value (state & local income tax deductions may also be available in some areas).
Make a bigger impact
When you give appreciated stocks directly to United Through Reading, your gift can be up to 20% larger because you avoid the taxes you’d incur from selling and donating the cash. This means more money going to the work that you support.
The table below shows how your dollar goes further by gifting stock. This direct donation of $50,000 in shares of stock is worth nearly $3,000 more than selling the stock and donating cash.
| Stocks | Cash | |
|---|---|---|
| Current Fair Market Value | $50,000 | $50,000 |
| Federal Capital Gains Tax | $0 | $4,700 |
| State Capital Gains Tax | $0 | $2,325 |
| Amount UTR Gets | $50,000 | $42,975 |
| Income Taxes Avoided Due to Charitable Deduction | $21,580 | $18,670 |
The information above assumes an original cost basis of $25,000 for a single person living in the State of California with an income of $250,000. It also assumes all realized gains are subject to the federal long-term capital gains tax rate of 15%, a Net Investment Income Tax of 3.8%, and a marginal California state income tax rate of 9.3%. It does not take into account other surtaxes or local taxes that may be applicable. The information here is provided for educational purposes only and is not intended to provide, and should not be construed as providing, legal or tax advice.
Ready to get started?
- Give your broker the transfer instructions at this link. This will provide information to facilitate the electronic transfer, receipt, and proper acknowledgment of your gift.
- If you do choose this option, it is very important that you also send the complete form and e-mail to us at giving@utr.org or mail it to us at United Through Reading - 1455 Frazee Road, Ste 500, San Diego, CA 92108. Our broker often receives stock transfers without the donor’s identity included, so completing this simple form will help us identify your gift quickly.
- If you have stock certificates in hand, please contact us at 858.481.7323, or email giving@utr.org for instructions. Also, if the value of your securities has declined since you purchased them, it may be to your advantage to sell them and give the cash proceeds instead. Please check with your professional advisor for details.
The information on this website is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in any examples are for illustrative purposes only. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results.
