Stock Gifts | Iowa United Methodist Foundation

Stock Gift Form | Stock Gift Brochure | Stock Gift Flyer

With the stock market at high levels, you may have shares/stocks that have increased in value. If you bought the share at $20 and it is now worth $200, the difference is a potential capital gain of $180 if you were to sell. With a gain of $180, you will pay a substantial capital gains tax on this amount if you decide to sell.

You might benefit by avoiding that capital gains tax with a gift of this appreciated security to your church or favorite ministry. Plus, you enjoy a substantial charitable deduction that may reduce your income tax. BASICALLY, you would be giving a $200 gift to your church that only cost you $20!

*This educational illustration is not professional tax or legal advice: consult a tax advisor about your specific situation.

Benefits of Giving Stocks & Bonds:

• Avoid capital gains taxes on the sale of appreciated securities
• Receive a charitable income tax deduction for the current market value of the appreciated securities if your total charitable contributions exceed the standard deduction
• Further the mission of your church or favorite ministry

How to Make a Gift of Stocks & Bonds:

If you have your stock held electronically by your broker:

1. Fill out the Stock Gift Form and send to the Foundation office.
2. Once the form is received by our office (by mail, email, or fax), we will send a letter back to you with further transfer instructions.

3. Contact your broker and provide them with the DTC number and the account number from the letter to complete the transfer.

4. Once the stock transfer is completed, your income tax deduction will be the average between the high and low price of the stock on the date that the stock actually was received into the account of the Foundation.

If you have a paper stock certificate:

1. Fill out the Stock Gift Form and send to the Foundation office.
2. The Foundation office will send you a letter of instruction and stock power which you will need to complete and mail back.
3. Sign the Stock Power with the same name(s) as on the stock certificate. DO NOT SIGN THE STOCK CERTIFICATE.
4. Once the stock is sold, the Foundation will forward a check to the church or ministry. The check will represent the net cost per share of the stock at the time of the sale. For income tax purposes your deduction will be the average between the high and low price of the stock on the date of the postmark.