Stock Donations
Embrace Relief accepts donations of all kinds in support of our international and domestic humanitarian aid programs, and this includes gifts in the form of stocks and stock certificates! A stock donation can be a wise financial decision that can, in certain conditions, exempt you from paying capital gains taxes on stock proceeds, while also ensuring that the full value of your gift benefits people in need.
Donors looking to gift securities may realize these benefits if they itemize when filing taxes, if they have held shares of stock for at least one year and one day, and if that stock has appreciated in value since being acquired. Under these conditions, you may deduct charitable stock donations up to 30% of your adjusted gross income on your next tax return.
Why Are Direct Stock Contributions More Beneficial Than Selling Stocks?
If you’ve had a profitable year in the stock market, you might consider selling some of your shares and donating the proceeds to a good cause, such as one of Embrace Relief’s international or domestic humanitarian programs. However, under current U.S. tax law, selling appreciated stock means you’ll owe capital gains taxes on the profit. This has two downsides: you can only deduct the post-tax amount of your donation, and your charity receives less than the full value of your shares.
Fortunately, there’s a better option. The U.S. tax code allows you to donate long-term appreciated stock directly to qualified 501(c)(3) nonprofit organizations like Embrace Relief. By doing so, you can avoid paying capital gains taxes entirely, and — if you itemize deductions — you may be able to deduct the full fair market value of the stock as a charitable donation.
Once Embrace Relief receives your gifted shares, we sell them tax-free and immediately put the proceeds to work supporting people in need. This way, the full value of your stock donation helps provide clean water, education, healthcare, and humanitarian relief around the world.
Our Stock Donation Policy
We have developed a stock donation policy at Embrace Relief for donors to have confidence in our handling of their generous gifts. The key components of our policy are as follows:
- We will accept stock donations in electronic and physical certificate forms. It is preferred that donated stock be in publicly traded companies.
- We will liquidate stock donations on arrival in order to appreciate their full value.
- Embrace Relief’s account will keep at minimum the necessary funds to allow for donations and sales of stock.
- It is the responsibility of donors to notify Embrace Relief of their intent to donate stock by using the form at the bottom of this page. This is essential: without your notification, Embrace Relief will be unable to identify your gift as a stock donation when it is transferred to our account.
- After Embrace Relief is notified of your stock donation and has received the transfer, we will provide a donation receipt for your own records, which you will be able to submit with your tax return.
- On the notification form, donors may indicate which Embrace Relief program(s) they would like their stock donation to support. If no program is indicated, Embrace Relief reserves the right to direct the gift to the program it deems most in need.
- There is no minimum amount or maximum limit for stock donations.
Donate Your Stock to Embrace Relief Today!
We have provided a step-by-step guide to ensuring an easy, efficient and donating stock to Embrace Relief, click here.
Thank you for supporting our global humanitarian mission! If you have any questions about the process, please call +1 (201) 528-3181, or email [email protected].
After Making Your Stock Donation
Once you have transferred your stock to Embrace Relief, please use the form below to notify us of your donation, and to indicate which program(s) you would like your donation to support. Filling out this form is essential so that we can provide a receipt for your records. Unless the form is completed, your identity will otherwise not be shared with Embrace Relief, and we will be unable to provide proof of your tax-deductible donation.
