Bethel Bible Village
3001 Hamill Road Hixson, TN 37343
(423) 842-5757
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How Charitable Stock Gifts Can Offset Capital Gains
Jennifer Morrison, CPA, MBA

Finance Expert and Consultant

Jennifer Morrison formerly served as Bethel's Chief Financial Officer and Director of Finance, and now serves Bethel as a consultant. Prior to her work at Bethel, Jennifer was an auditor for a regional public accounting firm, specializing in not-for-profit and government entities, and as an internal controls auditor for a Fortune 500 company. Jennifer received her Bachelors of Science degree in Accounting, cum laude, from the University of Tennessee at Chattanooga and her Masters of Business Administration degree from East Tennessee State University. She is a CPA licensed in the state of Tennessee. Jennifer is an active member of Silverdale Baptist Church.

Avoid Capital Gains Tax and Maximize Your Tax Deduction

When the U.S. stock market is on an upswing, it presents the perfect opportunity for smart giving.

In fact, donating appreciated securities is one of the most tax efficient ways to give, because you can make a significant impact in the lives of those in need while also realizing significant tax savings.

Save on Capital Gains

Not only can you take a charitable contribution deduction (up to 30% of AGI) but you also avoid the capital gains tax on those securities altogether. Though it may vary based on income levels and other specific situations, the capital gains tax on appreciated stock is 15% for most people.

Deduct Full Market Value

If you donate securities directly to a qualified charity, such as Bethel, you avoid this tax completely and then get to take a charitable contribution deduction for the full fair market value of the gift. This means that the more your stock has appreciated, the more you will save through making a donation, and the greater your impact can be on our kids and families at Bethel.

In order to realize this great opportunity for giving and saving, your gift must meet the following criteria:

  • Donation of securities must be made directly to a qualified charity, like Bethel, and not be in exchange for goods or services.
  • Securities must have been held for at least one year and have a fair market value that is greater than when they were purchased.
  • Deductions must be itemized on your annual return.

Get the information you need

If you or someone in your family is interested in making a charitable gift of stocks or securities, please contact us at 423-842-5757 x1-220 or and we will provide the information you’ll need to make the gift easy for you, your broker, or your financial advisor.

This article is not intended to be all-inclusive or applicable to your specific situation. Any accounting or tax advice given is not a substitute for a formal opinion. Please consult your tax professional for guidance on your specific situation.

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