Stocks, mutual funds, bonds, or any other publicly traded securities can be transferred as gifts.
The Advantages of Making a Gift of Stock
- The market value of a gift of stock and securities is tax-deductible, just like any other charitable contribution.
- Giving stock or securities has an additional tax advantage over a cash gift: you avoid capital gains tax on the appreciation of the asset.
- A gift of stock or securities could increase the value of your gift to Dana-Farber and the Jimmy Fund at a decreased cost to you (see example below).
How to Make a Gift of Stock
To arrange a stock transfer, please contact:
Shares may be transferred electronically to:
UBS Financial Services Inc.
Attention: Owen Dugan
One Post Office Square, 33rd Floor
Boston, MA 02109
Compare the following three ways you could give using a $10,000 gift as an example:
|Give a Cash Gift to Dana-Farber and the Jimmy Fund||Sell Appreciated Stock and Give Proceeds to Dana-Farber and the Jimmy Fund||Transfer a Gift of Appreciated Stock to Dana-Farber and the Jimmy Fund|
|Fair Market Value (FMV) of Gift||$10,000||$10,000*||$10,000*|
|Long-Term Capital Gains Tax
($4,000 x 15%)
(Due to the IRS Tax on Appreciated Stock)
(Capital Gains Tax Savings)
|Income Tax Savings**
($10,000 x 24%)
|Total Tax Savings (Capital Gains Tax Savings + Income Tax Savings)||$2,400||$1,800||$3,000|
|Net Cost of a $10,000 Gift (FMV of Gift - Total Tax Savings)||$7,600||$8,200||$7,000|
*For which you paid $6,000 and have a $4,000 capital gain
**This example uses a 24% tax bracket
Always consult with your tax advisor for specific tax information when giving securities, as certain limitations to deductions may apply.
Are you a financial advisor?
If your clients are looking to make a gift of stock, please note Dana-Farber's tax ID number is 04-2263040. Please see our Resources for Advisors for more information.