Security transfers to Lakewood Vineyard

Lakewood Vineyard accepts gifts of appreciated stock and mutual funds

Donating appreciated stock is one of the easiest ways to give more to causes you care about.

By donating stock that has appreciated for more than a year, you are actually giving a larger percentage than if you sold the stock and then made a cash donation. The reason is simple: avoiding capital gains taxes. If you donate the stock directly to a charity, there’s no capital gains tax to pay. Plus, you are still eligible to deduct the full fair-market value of the asset you donated from your income taxes.

For example, if a person bought a stock for $10,000, and over time the stock appreciated to a value of $50,000, gifting the stock may save the capital gains tax owed on the $40,000 increase in value, plus the donor receives a tax deduction for the full $50,000 value of the stock.

Typically for tax purposes, transfers of stocks or ETFs are valued at the average of the high and low on the day of the transfer, and mutual funds at the closing price on the day of the transfer. This value may differ from the amount received by the church. Consult a tax advisor for current IRS requirements. Securities held at a bank or a brokerage account are generally accepted for transfer to the church brokerage account. After the transfer, the church will immediately sell the securities and transfer cash to the funds you have designated.