A donation of stock can often be advantageous to both Pura Vida and the donor, maximizing the amount donated and minimizing taxes.
Why donate stock?
If you have invested in stock that has gone up considerably in value from when you bought it, and you wanted to sell it and donate the proceeds to Pura Vida or your favorite charitable organization, come tax time you would have to pay capital gains tax on the gains from the stock sale. Instead, if you donated the stock directly to Pura Vida and let Pura Vida sell the stock, you would get a charitable gift credit for tax purposes for the full value of the stock and you would not face capital gains tax on it. This allows you to make a sizable donation without the sting of capital gains tax.
On the other hand, if you are selling a stock with a loss on it to make a donation, it makes more sense for you to sell the stock yourself and donate the proceeds from the sale, since at tax time you will be able to take a capital loss and reduce your effective income. Note that this applies only if you itemize your deductions on Schedule A on your federal tax form.
For your individual situation, you may want to check with your tax advisor as to whether donating appreciated stock makes sense for you.
How to donate stock
Please contact us for complete instructions for making a donation of stock.