Stocks, Bonds & Mutual Funds

Many donors give appreciated publicly traded securities as a “tax-smart” way to accomplish their charitable giving goals, especially in the case of highly appreciated securities.

You can transfer appreciated stocks, bonds or mutual fund shares you have owned for one year or more to the Community Foundation of Howard County, reinvesting in your community and qualifying for an immediate tax deduction based on the full market value of the stocks. CFHoCo also can sell your securities and use the proceeds for its programs.

 

Publicly Traded Securities

Donors receive a double income tax benefit when gifting publicly traded securities:

Capital gains taxes on the securities’ appreciated value are avoided, and
Donors receive a charitable deduction for the stock’s full market value up to 30 percent of the donors’ adjusted gross income.

If you would like to make a gift of publicly traded securities, please notify our Vice President of Development, Allyson Lestner, at 410-730-7840 or ALestner@CFHoCo.org to provide the name of the stock, the number of shares you intend to give, and the date when the transfer will be initiated.

To initiate a stock transfer:

Wire to:  National Financial
DTC # 0226
For Credit to: Greater Horizon for the benefit of The Community Foundation of Howard County
Account No.:  NEX-003131
Contribution to:  Name of the Fund You to which you Wish to Contribute

Questions about the stock transfer…. contact:

Jodi Adams
Investment Accounting Supervisor
P: 816.627.3410 | F: 816.268.3210 | adams@growyourgiving.org

Closely Held Stock

Proposed gifts of closely held stock are reviewed on a case-by-case basis with CFHoCo’s Board of Trustees. If accepted, donors are entitled to a deduction for the appraised fair market value of the gift, up to 30 percent of the donor’s adjusted gross income (AGI). Taxes on capital gains also are avoided.

Please note that before closely held stock can be accepted, CFHoCo staff and Board will review all relevant documentation to obtain a clear understanding of the related business activities, the underlying assets and liabilities, the nature of the ownership interest proposed to be conveyed and the actual or potential liabilities, if any, associated with holding such securities.

Click here for CFHoCo’s Gift Acceptance Policy.

 

Mutual Funds

Mutual funds also can be contributed to the Foundation. The value of a share in a mutual fund is its public redemption price (the “bid price”) on the valuation date. Gifts of mutual funds are deductible at their fair market value – up to 30 percent of the donor’s AGI.

Please contact CFHoCo at (410) 730-7840 for specific delivery instructions.

SPECIAL NOTE:  If you are considering a gift of publicly traded securities, please notify CFHoCo as soon as possible. We need to know in advance the following information:

Donor’s name;
Name of security being gifted to CFHoCo;
Number of shares;
Approximate date the gift will be made; and Instructions regarding which CFHoCo fund(s) the gift will benefit.
For specific transfer instructions, please call CFHoCo at 410-730-7840 or email CFHoCo’s Vice President of Development, Allyson Lestner (ALestner@CFHoCo.org).