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updated
10.04.06
Q.
How is my gift valued?
A. According to IRS requirements, donated securities are valued
at the mean between the high and low (bid and asked) prices
for the securities on the gift date. The gift date (i.e.,
the date a gift of securities is considered complete) is the
date that the securities pass unconditionally from your control.
- If
the securities are transferred to Barnard's account at JPMorgan Chase, the gift date is the date the securities are
received in our account.
- If
the securities are re-registered in the name of Barnard
College, the gift date is the date of re-registration.
- If
the securities are transferred to Barnard on the books of
a bank or brokerage firm, the gift date is the date on which
the securities are moved into an account in the name of
the College.
- If
you mail the securities, the gift date is the date of the
latter postmark of the certificate and the separately mailed
stock power form.
- If
you deliver the securities in person, the gift date is the
date on which the College takes possession of the securities.
Please
note: By law, a gift of securities is not considered complete
until you have relinquished control of the securities as outlined
above. Giving instructions to your broker does not constitute
completion of a gift. If you write a letter of instruction
to your broker on December 27, but the securities are not
transferred until the following January 2, the gift date is
January 2.
Q.
How is my deduction determined?
A. The full fair market value of a gift of appreciated securities
that have been held for more than one year (long term) may be
claimed as an income tax charitable deduction in the year
the gift is made, up to a limit of 30% of your adjusted gross
income. Any excess deduction not claimed in the year of the
gift may be carried forward for five additional years.
If the
donated securities were held for one year or less,
only the cost basis in the securities is deductible, but the
deduction may be claimed up to a limit of 50% of your adjusted
gross income. Again, any excess deduction not claimed in the
year of the gift may be carried forward for five additional
years.
Q.
What if I have holdings that have depreciated?
A. If you own securities that have depreciated in value and
you have reason to use the depreciated asset to make your
gift, it is generally better not to donate the shares themselves.
Rather, you might want to sell them yourself, establish a
tax loss, and then donate the proceeds to Barnard. Consult
with your advisors before moving forward with a gift of this
kind.
Q.
May I make a gift of securities without sacrificing income
from my assets?
A. Securities gifts may be made outright to Barnard or used
to fund a life income plan with the College (for example,
a Charitable Gift Annuity,
Charitable Remainder Trust,
or the Pooled Income Fund).
A life income arrangement would pay an income -- often greater
than stock dividends -- to you and/or others for life or a
set term of years. With a life income gift, funds become available
for use by the College when the life income arrangement terminates.
Q.
May I give a smaller number of shares than my certificate
represents?
A. Barnard would be pleased to arrange for a stock certificate
or bond to be split in the event you wish to give fewer than
the number of shares or bonds than the security represents.
If you are holding the stock certificate or bond, simply send
it to us in accordance with the transfer instructions for
mailing stock certificates and indicate on your cover letter
your social security number and the number of shares (or the
dollar amount of the bonds) you wish to donate. A bank or
brokerage firm must guarantee your signature on the stock
or bond power. Barnard will arrange for a new bond or certificate
for the remaining shares to be issued and returned to you.
Q.
May I give closely held stock?
A. You may indeed make gifts of closely held stock and other
securities that are not readily marketable, and, in doing
so, you may realize many tax advantages. Since these gifts
involve special handling, you are urged to contact
the Office of Planned Giving to explore the alternatives
for structuring your gift.
If you
are planning to make a gift of stocks, bonds or mutual
funds, please contact Yvette Edlow in Barnard's Office of Planned Giving.
Call
212-854-2001
Fax 212-854-7550
Send an email to plannedgiving@barnard.edu
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Write
to:
Barnard College
Office of Planned Giving
3009 Broadway
New York, NY 10027-6598 |
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