Stock Gifts

Appreciated stock is almost always a more tax-wise way to contribute than cash. Stock gifts save in two ways: You receive an income tax deduction for the full market value of the stock, and avoid paying the capital gains taxes that would be due on the appreciated portion of the stock's value if you sold it. To avoid gains taxes, the stock must be held long-term, which generally means more than a year.

If you own stock or other investments that have decreased in value since you acquired them, you could sell them and donate the cash proceeds. The loss you incur may also be deductible from other income for more tax savings. The combination of the two deductions could actually be higher than the current value of the investment.

For more information about stock gifts, contact Maree Wacker at (503) 528-5632 or wackerm@redcross-pdx.org.