This is the time of the year when many investors take stock (no pun intended) of their investments and look at some tax-planning opportunities. The elimination of the Capital Gains Tax on donations of publicly traded securities (stocks, bonds, mutual funds, segregated funds) since 2006 is a great opportunity for donors who have made gains in the market and are looking to rebalance their portfolios and crystallize some of those gains.
If that is the case, and you are looking to re arrange your portfolio, now is a good time to “put yourself in the picture” by making a gift of securities to the Digital Imaging campaign at the Almonte General Hospital/Fairview Manor Foundation, and taking advantage of the additional tax break.
If you still like the security, you can buy it back with cash. That is more tax-efficient than making the donation with cash.
When you transfer securities directly as a donation to a charitable organization such as the Foundation, the taxable amount is zero percent of the capital gain. (The same benefit applies to estates as well, so talk to your lawyer about a gift of securities in your will.)
Several of the recent supporters of the diagnostic imaging campaign have donated publically traded stocks. We hope you will keep in mind your dedication to the Almonte Hospital and Fairview Manor. A gift of securities is the perfect way to save on your taxes and “put yourself in the picture.”
Please talk to your tax adviser, and then call Al Roberts at 613-2500, ext. 2297.
Reminder: If you are a first-time donor (as defined by the Income Tax Act), additional tax credits are available until the end of this year!
by Art Solomonian, Chair, AGH-FVM Foundation