Gifts of Securities
Making a gift of appreciated securities is a great way to support excellence in healthcare delivery and research. Your investment today will help accomplish your philanthropic goals while realizing significant tax savings.
Under new rules in the 2006 federal budget, when you donate stocks, bonds, futures and options, as well as shares in mutual funds to St. Joseph’s Healthcare Foundation you will pay no tax on the capital gain (the increase in value, since you acquired the securities). If you sell your securities, tax must be paid on 50 per cent of any capital gain. The combined benefit of paying no tax on the capital gain and the charitable tax receipt you receive provides excellent tax benefits.
Shares can be transferred electronically and in certificate form in the donor's name or re-registered in the Foundation’s name. In all cases, the charitable tax receipt will reflect the securities on the date they were received by the Foundation.
The following example illustrates the overwhelming tax benefits of making a gift of securities to St. Joseph’s Healthcare Foundation:
Assume that you own appreciated stocks and mutual funds and would like to donate $25,000 of this stock directly to the Foundation rather than give cash. The Foundation will then sell the stock and use the cash as you have directed. You will receive a charitable tax receipt based on the fair market value of the securities the day that the Foundation receives the funds. The advantage of donating these assets in-kind under the new charitable tax rules is that you will not have to pay tax on any of the capital gains. You can use that donation receipt to offset taxes payable on other sources of income or investments.
Donations to St. Joseph’s Healthcare Foundation support innovative research, vital equipment and facility enhancements, and help to recruit and keep the brightest medical minds in our community. All of this helps St. Joseph’s continue to provide the best healthcare available to you and those you love.
For more information and to discuss making a gift of securities to St. Joseph’s Healthcare Foundation, please contact:
Dana Visocchi Rice
Tel: 905.522.1155, ext. 35974