Stock & Securities Asset Gifts
Appreciated Stock is a smart asset to gift! If you have been making cash donations to Phoenix College, you could get more tax benefits by gifting stock or other assets. You can transfer stock to the Maricopa Community Colleges Foundation (MCCF) to benefit Phoenix College.
- MCCF can sell the stocks tax free and avoid capital gains tax you would otherwise have to pay.
- You can get a full market value tax deduction on the gift and save the capital gains tax.
- (Bonus!) If you really like the stock, you can buy it back the same day with the cash you were planning on donating and reset your stock investment!
David and Marisol’s Stock Gift
You could say that David had a rough start in life. It took him some time to find his bearing and start building his life. Now he is successful in all aspects of his life, and his biggest accomplishment has been marrying Marisol, the love of his life.
Marisol understands David’s commitment to helping others who are struggling or who have had less favorable circumstances in their journey. She supports him in his charitable endeavors and has found causes that she is passionate about as well. When they started working with Craig, a financial advisor, to help organize and guide their finances, Craig noticed the amount of cash gifts that David and Marisol were giving. During their financial review, Craig asked if they had ever considered gifting their highly appreciated stock rather than cash.
David did not like the idea at first because he was emotionally attached to some of the stocks and the good investment choices he had made. Craig told them that they could give the stock as a gift, get a full market tax deduction, and buy the stock back the same day. In essence, they would increase their purchase price on the stock and give a smart gift. David thought there was a 30-day rule on that sort of transaction. Craig assured him the rule is for loss capture and did not apply to stock that had grown in value. Now David and Marisol can give more because they are saving on taxes while they do good in our community.
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