If you have investments that have increased in value over the years, those gains will trigger capital gains taxes for your estate. Your best tax advantage for a gift of stock is a direct donation.
The federal government has eliminated capital gains tax payable on the appreciated value of these gifts.
This means your estate will receive a tax credit to lower-income tax payable.
Your estate will receive a tax receipt for the fair market value of the stock on the day of the transfer to Island trust Conservancy’s account, which will help offset income taxes due on your estate.
You can bequeath prescribed bonds, mutual funds, exchange-traded funds, shares, warrants, bills and futures listed on the stock exchange.
You don’t have to wait to give a gift of stocks–you can donate these today for the same tax benefits. A gift of securities can be transferred today, or in your will.
If your advisors are not familiar with this type of gift, we would be happy to provide additional information to them.