Many individuals still enjoy significant gains in their stock and other investment portfolios. If you own stocks, bonds or mutual funds that have appreciated in value, you have a unique opportunity to realize extra tax savings by making an outright gift.  

First, you would earn a federal income tax deduction for the full fair market value of the securities as long as you have owned them for longer than one year. Second, you would avoid all of the capital gains tax that would be due on the sale of the securities.  

Here's an example:
John has committed to making a sizable gift to help the American Red Cross in Greater New York. He owns $20,000 worth of stock that he purchased 10 years ago for $10,000. If John sold the stock, he would realize a capital gain of $10,000. Listed below are two ways of making his gift.  

By donating the stock directly to the American Red Cross in Greater New York, John would completely avoid all capital gains tax and would realize larger net tax savings. 

Your personal financial situation is unique. You should discuss your estate plans with your family and your financial and legal advisers before making any charitable gift.  

For more information, please contact Liz Portland at 1-877-REDCROSS, ext. 2030.