An attractive way for donors to contribute is through gifts of appreciated securities. Giving long-term appreciated securities offers a tax saving benefit in that you avoid paying any capital gains tax on the increase in value of your security. It is important to note that to receive the tax benefit, the donor should not personally sell the security, but transfer it directly to Windward’s account for the School to sell.
For example,
- You purchase 10 shares of ABC at $20 for a total value of $200.
- The ABC share price increases to $100, bringing the total value of your investment to $1,000.
- If you sell the shares and donate the $1,000 to Windward, you will receive a deduction for the gift but will also have to pay capital gains tax on the $800 increase of the investment.
- On the other hand, if you donate the 10 shares of ABC directly to Windward, you receive the same $1,000 deduction but will not ever have to pay the capital gains tax.
Instructions for stock transfers:
Please have securities delivered through the Depository Trust Co. (DTC)
DTC Clearing Number: 0005
Bank: Goldman Sachs
Account Name: The Windward School
Account Number: 055486872
It is the School’s policy to sell all stock donations immediately upon receipt. Therefore, prompt notification of a stock gift is critical. Please be sure to call Angel Francis, Director of Development, at (914) 949-6968 ext. 2280, with the information regarding the name and number of shares sent.
