Gifts of Securities

Gifts of Securities

A gift of appreciated securities held for more than one year may provide
significant benefits to you as a contributor, such as:

  • Entitling you to a charitable income tax deduction for the fair market
    value of the gifted securities as of the date of gift.
  • Eliminating capital gains tax that would ordinarily become due if you had
    sold the appreciated securities on the open market and donated the
    proceeds from the sale to charity.
  • Claiming your charitable deduction against up to 30 percent of your
    adjusted gross income. Any unused deductions can be carried forward
    over the next five years.
  • Providing a way to help you to achieve your long-term financial objective
    of reducing your income and estate taxes.

If you have securities that have declined in value over the years and are
interested in donating them to charity, you may find it more advantageous to
sell the securities first and contribute the proceeds to charity as opposed to
donating the securities outright. This strategy should allow you to claim a
deduction for both the loss from the sale of the securities as well as the
charitable gift.

If you are considering donating stock that is subject to a cash merger or
tender offer, it’s important for you to note that you will be subject to tax on the
capital gain even though the shares were transferred to us before the tender
offer became effective.

You should always consult with your financial advisor before initiating a
charitable gift arrangement.

Please note that the American Lung Association is not able to accept any
securities from tobacco companies or related entities. Please consult your
broker for further information on the nature of your securities if you are unsure
or feel free to contact us.

Ways to Give Securities

There are two ways to make a donation of securities: by Physical Delivery or
through an Electronic Transfer Authorization. Be sure to notify the contact
listed below of your intention in advance of initiating your transfer.

Physical Delivery

If you have physical securities, you may deliver them in person, by registered
mail, or by courier to your local American Lung Association office. If they are
registered in your name, you will need to provide an Irrevocable Stock/ Bond
Power Form.

Get the Physical Delivery Form.

Electronic Transfer Authorization

Your broker can electronically transfer your securities to the American Lung
Association. Because this request must be made in writing, you or your broker
must complete an Electronic Transfer Authorization form. Please download
and fill out the Electronic Transfer Form and send it via email or fax to:

Cheryl J. Smoot
National Assistant Vice President, Individual and Planned Giving
American Lung Association
312-801-7642 | Fax: 312-284-4875
Cheryl.Smoot@Lung.org

This form also contains the American Lung Association account number and
information you will need to transfer your securities.