Gifts of Stocks and Bonds
Donating appreciated securities, including both private and public stocks or bonds, is an easy and tax-effective way for you to make a gift to UC Merced.
Benefits of gifts of stocks and bonds
- Avoid paying capital gains tax on the sale of appreciated stock
- Receive a charitable income tax deduction
- Further our mission today
How to make a gift of stocks and bonds
By electronic transfer - Please contact us for instructions on how you can transfer stock or bonds from your brokerage or investment account to UC Merced.
By certified mail - If you hold securities in certificate form, you will need to mail two envelopes separately to complete your gift. In the first envelope, place the unsigned stock certificate(s). In the other envelope, include a signed stock power for each certificate. You may obtain this power from your broker or bank. Please remember to use certified mail.
How to make a gift of privately held stocks
You give shares of closely held stock to UC Merced. We liquidate the shares at the right time and use the proceeds to support the campus programs that are important to you. You receive an income tax charitable deduction for the appraised value of the shares, even if you obtained the shares at low or no cost, provided you have owned the stock for more than one year. Avoid capital gains tax on the appreciation in value.
More on gifts of stocks and bonds
There are special rules for valuing a gift of stock. The value of a charitable gift of stock is determined by taking the mean between the high and low stock price on the date of the gift. Mutual fund shares are valued using the closing price for the fund on the date of the gift.
If you have any questions about gifts of stocks and bonds, please contact us. We would be happy to assist you and answer any questions that you have.