Gifts of appreciated securities are generally more cost effective to the donor than gifts of cash. A gift of stock with long-term gain may entitle you to a charitable deduction for the full fair market value of the stock and is exempt from capital gains tax. For example, if you acquired stock for $1,000 and the current fair market value is $5,000, you may be eligible to deduct the full $5,000 and escape tax on the $4,000 capital gain.
Stock Delivery Instructions
Electronic transfers – If you wish to make a gift of stock held by a bank or brokerage, electronic transfer is the easiest method. (Do not sell the stock in your name and have the proceeds sent to us, as this will constitute a cash contribution, and you will be liable for any capital gains tax.) Please download the sample stock gift letter for your bank or broker to execute the transfer.
Mutual Funds Transfers/Registrations
If you wish to make a gift of mutual fund shares, you will need to have the shares re-registered in the name of the Charlottesville-Albemarle SPCA. Because brokerages and mutual fund companies differ in their procedures for reregistering ownership, please contact your brokerage or mutual fund company to determine its particular requirements, and then contact the SPCA’s Development Department for assistance in effecting the gift.
NOTE: Gifts of mutual fund shares do take some time to finalize, so advance preparation is recommended when the timing of a gift is critical. You may also wish to have your broker or account representative contact us prior to the delivery to ensure that he or she is comfortable with the delivery instructions listed above and to advise us of the pending delivery.
Securities Delivery Instructions: Physically Held Certificates
For securities physically held by you, please send certificates without any endorsement to the Charlottesville-Albemarle SPCA. Then, under separate cover, forward by mail a signed stock power for each security, along with a letter indicating the purpose of your gift. Stock powers are generally available from any bank or brokerage (Your signature must be medallion guaranteed by a bank or broker, not simply notarized.)
Thank you for considering a gift to support the No Kill mission of the Charlottesville-Albemarle SPCA. For further information or assistance in making a donation of stock or mutual funds, please contact us at (434) 964-3320.