Gifts of appreciated securities owned for more than one year offer a twofold tax savings. First, you avoid paying any capital gains tax on the increase in value of your stock. In addition, you receive a tax deduction for the full fair market value of the stock on the date of the gift.
If you wish to make a gift of stock, the easiest way to do it is to instruct your broker to transfer the stock to Smith Barney via the DTC (Depository Trust Company) # 0418 . The TMA Foundation account is 648 07854 16 217 . You may also transfer the stock to Texas Medical Association Foundation (Tax ID 74-6073346) at 401 W. 15 th Street, Austin, TX 78701. Please send it via registered mail to the attention of Sean Dunham, who will make the necessary arrangements with our finance office.
If you have depreciated securities, it is generally advisable to sell them first, then donate the proceeds. Thus, you may be able to take a tax deduction for both the loss and the charitable gift.
Always consult your tax and legal advisors before making financial decisions.
For further information, call Sean Dunham at (800) 880-1300 ext. 1664 or (512) 370-1664. He will be happy to answer any questions you have.