Stocks & Securities

Before you make a donation to Catalina Island Conservancy this year, you might want to consider looking through your stock portfolio. Many people have portfolios with greatly appreciated securities which carry with them a large amount of unrealized gain that may be subject to capital gains taxes if sold.

The strategic gifting of these appreciated securities to Catalina Island Conservancy will enable you to make a beneficial gift while simultaneously benefitting you.

Tax Benefits

• avoidance of capital gains taxes
• eligibility to receive a charitable deduction for the full fair market value at the time of the gift

These tax benefits come from the fact that the deduction for a donation of property to charity is equal to the property’s current fair markey value, rather than the basis of the capital gain. Assuming you itemize, these rules create a “double play” of tax benefits: a charitable deduction AND avoiding tax on the unrealized capital gains of the donated property.

Depending on your tax bracket, you can avoid paying as much as 20% long-term capital gains tax and also deduct the full market value of the donated stock on your Schedule A.

Stock Donation Form