A Gift of Stock Can Yield Important Tax Savings!
Investing in stocks and bonds is a mixed blessing. The good news is your investment may have appreciated in value. The bad news . . . you may owe substantial capital gains tax when you sell.
Donating your securities to the American Kidney Fund will provide you a full income tax deduction based upon the current market value, and you completely avoid ever having to pay capital gains tax on your donated investment. In addition, your charitable contribution may help you avoid estate taxes.
We would be happy to talk to you, your lawyer or tax advisor about the advantages of making a gift of appreciated assets such as stocks or bonds—or other planned giving opportunities. Simply call us toll-free at 800-638-8299.
Instructions for Gifts of Stocks
Electronic delivery of stock shares is the most secure and expedient delivery process available and provides efficient internal control as well as cost savings. The American Kidney Fund also accepts security certificates directly. Please follow the instructions below for making a gift of stocks or bonds.
Three ways to make a gift of securities held by an AKF contributor
Please remember, for audit and acknowledgement purposes, you or the transferring broker must provide the following information: your name and complete address, along with the name and number of securities transferred to the American Kidney Fund.
If you prefer to initiate a "DTC" electronic transfer of your stocks or bonds into the AKF stock clearance account, contact Barry McFarlane, AKF's Director of Finance and Administration. Call toll free 800-638-8299 ext. 6660 or email Barry McFarlane for more information or to initiate the transfer. The applicable DTC information is as follows: the American Kidney Fund has an account with Morgan Stanley Smith Barney (DTC#0015). The name on the account is the American Kidney Fund, Inc., and the account number is #504-131489-736.
Through a trackable and secure method of delivery, send the actual security certificate registered to the American Kidney Fund. Send it to the attention of: Barry McFarlane, American Kidney Fund, 11921 Rockville Pike, Suite 300, Rockville, Maryland 20852.
By regular first class mail, send your certificate, without any endorsement, assignment or other notation to: Barry McFarlane, American Kidney Fund, 11921 Rockville Pike, Suite 300, Rockville, Maryland 20852. Please enclose a letter stating the purpose of this charitable gift to the American Kidney Fund. Then, separately mail a stock power form (one for each certificate) endorsed with your signature only, exactly as your name appears on the face of the certificate along with a copy of the letter mailed with the certificate. You must have a Signature Guarantee to endorse the transfer. You can acquire a medallion signature certification from your bank that will be stamped on the form guaranteeing the authenticity of your signature. Since the stock certificate becomes negotiable only when joined with the stock power, this method provides both safety and simplicity. Stock power forms are available from any bank or brokerage office. The date of the postmark determines the value of the gift since this is the date the stock was officially transferred to AKF. When AKF receives the two separate envelopes with the certificate and the stock power, we will acknowledge your gift to the American Kidney Fund.
Valuation of Securities
The value of a gift of stock is based upon the mean between the high and low, or the bid and asked, quotations on the day the securities pass from your control. For example, on December 1st, when you mailed your certificates for XX shares of XYZ Corporation to AKF or instructed your banker or broker to hold the securities for AKF, the high was $21 and the low was $19. The mean price is $20 per share, and the gift is worth that price multiplied by the number of shares contributed to the American Kidney Fund.