There are many ways to financially support Dixon Center for Military and Veterans Services and we are dedicated assisting you in finding the path that best fits your situation. One of these options may be in donating stock. Donating appreciated stock is not only one of the easiest ways to give, but it is also one of the most tax-smart ways to give. Dixon Center is a 501c3 organization under The Fedcap Group, and your donation is tax deductible to the extent allowed by law.
Why give a stock donation? There is a provision in the federal tax code that lets benefactors donate appreciated stock, when they have held it more than a year, to charity. When securities are subject to capital gains taxes and the proposed donation is the fair market value of the appreciated securities, it is a win-win situation. Dixon Center for Military and Veterans Services gets a contribution that impacts the lives of veterans and their families, while our donor can deduct the gift and avoid paying capital gains taxes on the appreciation.
It is important to keep in mind that if you have a stock losing value, it is better to sell it and give the cash. You will still be able to deduct your charitable donation, but you will also be able to take a capital loss when you sell the investment. Make sure you contact your financial advisor or tax accountant and have the most current information to make sound decisions and in determining when donating stocks is the right plan for you.
When is the best time to give my stock donation? Dixon Center for Military and Veterans Services can accept stock donations at any time throughout the year. It is important to keep in mind that most banks and brokerage firms require a letter of instruction or letter of authorization to transfer the shares to charity and may have a special form that needs to be completed. If you are considering a year-end tax donation, it is a good idea to start the process at least a week or two before December 31, so the transfer has plenty of time to be completed during the holidays. For more information on IRS rules please contact your tax accountant and visit the IRS at https://www.irs.gov/.