Capital Gains Tax An Outright Gift of Appreciated Stock enables the donor to obtain substantial tax benefits. First, donors receive an income tax deduction equal to the full fair market value of the stock on the date of the gift. In addition, no capital gains tax is due when Angelwish sells the stock, so the full value of the gift supports the work of Angelwish. Appreciated stock is also an excellent asset to use for funding a gift plan that provides income for life. Because charity will benefit in the future from the principal of the gift, capital gains tax is avoided when appreciated stock donated into the plan is sold to reinvest for higher income.
All donations are tax deductible to the full extent of the law.