Contributions to a donor-advised fund can carry significant tax benefits. All contributions are eligible for an immediate tax-deduction, and contributions of appreciated securities with unrealized long-term capital gains can enable you to avoid capital gains taxes associated with the sale of these securities. If you have a portion of your portfolio in appreciated assets, you may want to consider using them as a part of your overall tax and estate planning. Assets donated to a charitable account are not part of a taxable estate.
Schwab Charitable Fund can accept or facilitate the donation of a wide range of assets. Because IRS rules for donating some assets can be complex, please call us at (800) 746-6216 so we can discuss your specific circumstances.
|Assets Generally Accepted||Deductibility Limits1|
|Publicly-traded stocks & bonds||
|Mutual fund shares|
|Assets Accepted Under Certain Conditions3|
|Privately held securities
|Cash value of a Life Insurance Policy5|
|Tangible personal property (artwork, collectibles)|
2. For instructions on how to facilitate an Electronic Funds Transfer from your bank account, please call us at 1-800-746-6216
3. Available to large accounts only and considered on a case-by-case basis. Contributions of real estate and privately held interests are accepted via a charitable intermediary that specializes in these transactions, with proceeds of the donation transferred to the donor's donor-advised fund upon liquidation. The charitable deduction is based on the value of the asset at the time it is contributed to the charitable intermediary, not when the proceeds are transferred to the charitable account.
4. In certain circumstances, a donor may be liable for taxes with respect to gifted stock subject to a merger, redemption or acquisition. Donors considering such a gift should consult their tax advisors. Cannot be a pre-arranged sale.
5. The amount of charitable deduction for a gift of a life insurance policy may depend on the nature of the policy. Donors considering such a gift should consult their tax advisors.
6. Assets transferred from a private foundation are not eligible for a tax deduction.