Stocks and Securities
Stock transfers can benefit the parish, school, or agency of your choice
Direct gifts of stock and mutual funds are simple and are often more advantageous for the donor than outright gifts of cash. Donors can make an immediate outright gift of stock or use stock to fund a more sophisticated planned gift, like a gift annuity.
With stock that has appreciated in value, the donor must give the stock directly to the charity to realize certain benefits. If the donor sells the stock and subsequently gives the proceeds to the charity, he or she will be responsible for paying a capital gains tax on the profit.
With stock that has depreciated in value (i.e., stock whose value is less than its original cost to the donor), the optimal charitable gift process is reversed. With depreciated stock, it may be advantageous to sell the stock and then donate any proceeds. By selling the depreciated stock, the donor can derive the income tax benefit of the capital loss.
The actual donation process is usually quite simple: The donor instructs his or her own investment advisor or broker to transfer the desired shares of stock to the Archdiocesan brokerage account and designates the particular Archdiocesan parish, school or agency that is to be the beneficiary of the gift. The Archdiocese will provide the donor or the donor’s advisor with the relevant information concerning its brokerage account. Upon receipt of the stock, the Archdiocese will credit the gift to the account of the Archdiocesan beneficiary.
For additional information on charitable gifts of stock to an Archdiocesan organization click here, or contact the Office of Stewardship and the Annual Catholic Appeal at 314.792.7680.
IRS Circular 230: Charitable giving has tax implications. Please consult your personal tax advisors and please click here to review important tax disclosures.