Gifts of Stock and Securities
Why Do People Donate Stock and Other Marketable Securities? When you donate stock or other securities you can take an income tax charitable deduction for the entire current value of the stock on the date it is donated (if you itemize). You can deduct the full current value of the stock that you donate, not the amount you originally paid for it. As an added bonus, when you donate appreciated securities, you will not have to pay any capital gains tax on those assets (if they have been held for more than one year). In effect, you can make a larger gift at a lower cost. The spectrum of color of the flame azaleas on Gregory Bald beautifully illustrate the diversity of life, even within a given species. |
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How Do You Make a Gift of Securities to Discover Life in America?
There are several possible ways of making a gift of securities to Discover Life in America, depending upon whether the securities are registered in your brokerage account, in your own name, or in a bank custodian account. The procedures for executing each of these transactions are outlined below. We have also provided a sample letter of instruction that may be used to assist in the transfer of securities to Discover Life in America.
For securities held in a brokerage account: Securities held by a broker may be delivered by wire through the Depository Trust Company (DTC) to our brokerage account. This electronic transfer is the most popular and most efficient way to donate securities to Discover Life in America.
To arrange this transaction, provide your broker with written authorization of your intention to make a gift of securities to Discover Life in America. Be sure to tell them the name of the stock that you want to transfer and the number of shares. (Please see the sample letter of instruction) Also, inform your broker of the following information about where to send the donated securities:
Brokerage:
DTC #:
Account Name: Discover Life in America
Account #:
Tax ID #:
For securities registered in your name: These securities may be delivered in person or by registered mail (or equivalent) to the office of our broker at:
Morgan Keegan, Inc.
Attn: Mark Hahn
550 Main Avenue, Suite 825
Knoxville TN 37902
As a precaution, if the securities are sent by mail, do not sign the back of the actual certificates! Once the certificate is endorsed, it is legal tender and can be used by anyone. Instead, please sign a stock power form and mail it separately from the securities. Our broker’s address is as follows:
For securities held in a bank custodian account: Many banks have a gift account procedure whereby securities may be removed from your custodian account and placed in a gift account until instructions have been received from the charity. If you wish to make a gift of securities from your bank account, please notify your bank and also inform us of the name of the bank, and the contact person.
For ALL transactions: Regardless of the method that you choose to deliver a gift of securities, please notify Discover Life in America of your intention to donate securities prior to the transaction so that we may alert our broker and ensure that your generosity is acknowledged accurately and promptly. For auditing and acknowledgement purposes, please include your name and complete address, and the name and number of shares of the stock that you are donating. We have provided a sample letter of instruction to help you create the necessary documentation.
For More Information
If you have any questions, or if you need any additional information, please contact George Ivey, Friends of Great Smoky Mountains National Park, and (865) 453-2428. Each inquiry will be handled discreetly and will place you under no obligation. Also, we recommend that you consult with your tax or financial advisor to discuss your specific situation. Thank you for your interest in supporting Discover Life in America!
