With the stock market at record highs, it is a great time to consider supporting our schools by donating appreciated stocks, Exchange Traded Funds (ETFs) or mutual funds you have held for a year or more to BCE. By doing so, you avoid paying capital gains tax and you get a tax deduction while BCE gets the full value of the gift. Not to worry if you love the security you are donating, because you can immediately repurchase it at current market prices and still enjoy all the future growth it might have to offer.
Here is an example. You donate ten shares of NVIDIA worth $8,220 today which you purchased over a year ago for $2,300. If you sold them, you would pay capital gains tax, as well as California income tax on the difference between what you paid and today's value or $5,920. If you donate them to BCE, you get a tax deduction for $8,220, and BCE gets the full value of your gift. You can repurchase ten shares of NVIDIA for $8,220 which will be your new cost basis for tax purposes. Â
Visit https://www.bcefoundation.org/donate#stock-securities for details about the process and additional information on the benefits of donating appreciated securities.
Questions? Reach out to BCE Treasurer AJ Jones at treasurer@bcefoundation.org.