Gift Example |
Sell Shares donate the Cash to CDS |
Gift of Shares directly to CDS |
Market Value of Shares |
$10,000 |
$10,000 |
Original Cost of Shares |
$1,000 |
$1,000 |
Capital Gain |
$9,000 |
$9,000 |
Taxable Portion of Capital Gain @ 50% |
$4,500 |
$ - |
Tax on Capital Gain @ 46.4% |
$2,088 |
$ - |
|
|
|
Real cost of your donation |
|
|
A) Donation Receipt |
$10,000 |
$10,000 |
B) Less: Tax Credit @ 46.4% |
$4,640 |
$4,640 |
C) Add: Tax on Capital Gain |
$2,088 |
$ - |
|
|
|
Cost of Donation (A-B+C) |
$6,728 |
$5,360 |
|
|
|
Net Tax Savings (A-B-C) |
$3, 272 |
$4,640 |