In case you have planned to make a substantial donation in the year ahead to some charity or a non-profit organization then you need to do a detailed analysis of your portfolio before you start with writing a check. It is important to trace a charitable organization of your interest which is well qualified for making such donations. The donations that you will make will be deducted on your federal income tax return. The same is known as itemized deduction and it is preferable to only consider the stocks that have appreciated in their value.
One important thing is to have such stocks in your possession for more than a year. All in all, you can get good benefits by donating the appreciated stock from your investment portfolio. This procedure is much more beneficial for the people who have marginal tax bracket as 15% or more and who are able to claim the itemized tax deductions.
Once again, here it is imperative to know that you must only select the charity that is sustaining the purpose and mission for which it has been established. Choosing a charity which is not known for its works can be a big mistake on terms of goodwill that your earn by donating stocks. The best procedure to continue with selection of the charitable organization is looking for them with a simple online search.
Once you have a list of numerous charitable organizations then you can line them up in your set priority. Some people eve choose to make stock donations at the same time to different organizations which do not have any different effect on tax benefits that one can get from the donations made.
With the passage of time, the charity giving has changed a lot and people are more and more aware about the benefits they can make out of doing something. Individuals as well as businesses donate for a good cause to earn dual benefit. At one end they get appreciation from the society and on the other end they guarantee tax benefits for themselves.
Just you prepare your mind to donate, visit a stock broker and let him or her proceed with donation of stocks which will require only a few details and your signature in order to transfer the stocks in your possession to the charitable organization. It is important that you save all the documents related to stock donation process with you so as to not deal with any tax return time jitters.
One important thing is to have such stocks in your possession for more than a year. All in all, you can get good benefits by donating the appreciated stock from your investment portfolio. This procedure is much more beneficial for the people who have marginal tax bracket as 15% or more and who are able to claim the itemized tax deductions.
Once again, here it is imperative to know that you must only select the charity that is sustaining the purpose and mission for which it has been established. Choosing a charity which is not known for its works can be a big mistake on terms of goodwill that your earn by donating stocks. The best procedure to continue with selection of the charitable organization is looking for them with a simple online search.
Once you have a list of numerous charitable organizations then you can line them up in your set priority. Some people eve choose to make stock donations at the same time to different organizations which do not have any different effect on tax benefits that one can get from the donations made.
With the passage of time, the charity giving has changed a lot and people are more and more aware about the benefits they can make out of doing something. Individuals as well as businesses donate for a good cause to earn dual benefit. At one end they get appreciation from the society and on the other end they guarantee tax benefits for themselves.
Just you prepare your mind to donate, visit a stock broker and let him or her proceed with donation of stocks which will require only a few details and your signature in order to transfer the stocks in your possession to the charitable organization. It is important that you save all the documents related to stock donation process with you so as to not deal with any tax return time jitters.