A popular way to make a charitable gift and avoid capital gains tax is through a gift of appreciated securities, such as stocks or bonds. The IRS allows you to deduct the fair market value of the stock or bond as a charitable donation and avoid capital gains tax on the transfer. This benefit means that you can leverage a larger donation by using appreciated securities rather than cash to make your gift. Your personal financial planner and tax advisor can help you in this area.
A gift of appreciated real estate may save you thousands of dollars in income, estate, and capital gains taxes, while providing a substantial benefit to the McMahon Parater Foundation. This is particularly true if returns from the property are modest compared to what the capital gains taxes would be if the property were sold. Donors of appreciated real estate may be able to deduct the full market value of the property. Gifts of real estate are subject to various laws.
The Foundation can accept gifts of residential, commercial or undeveloped real estate; however, the Foundation must review and approve the transfer before the gift of any real estate can be completed. You will have to secure an appraisal to establish the property’s value.
Some donors may opt to make donations of personal property that has value. For example, you may choose to contribute artwork, antiques, jewelry, motor vehicles, equipment and other items to the McMahon Parater Foundation. If you are considering such a gift, please call the Foundation first, as what you choose to donate may impact the amount of your charitable deduction. Please note: You will need to secure an independent appraisal to establish the amount of your deduction.
For more information about gifts of securities, real estate or personal property, please contact Margaret Keightley, Executive Director of the McMahon Parater Foundation, at 804-622-5121 or firstname.lastname@example.org.