What it is
An appreciated-securities donation transfers investments that have increased in value to a charity willing and able to accept them.
Why it exists
It distinguishes a gift of the investment itself from selling it and donating cash, which can produce different tax and processing results.
When it may help
It helps someone organize an intended gift of existing securities and confirm the recipient’s transfer instructions.
When it may not fit
It may not fit a charity unable to accept the asset or an investment with transfer restrictions, valuation issues or unsettled ownership.
Tradeoffs and access
The asset’s price can change during processing. Holding period, security type, restrictions and documentation matter. Verify instructions through trusted channels to avoid redirecting assets to a fraudulent account.
Tax considerations
Deduction valuation and capital-gain treatment depend on the facts. Do not assume every appreciated asset receives a fair-market-value deduction or that all gains disappear in every arrangement.
Common mistakes
Avoid selling first while expecting the treatment of an in-kind gift, transferring without confirming acceptance, or omitting cost-basis and acquisition records.
Fictional example
Fictional Morgan asks a charity whether it accepts a particular security, then has the broker and tax adviser review the transfer and records before acting.
Questions to ask
Will the charity accept it? What holding period and basis apply? What date establishes completion and valuation? Is an appraisal or additional form needed?
What to record in Planstead
Record the intended organization, asset reference and completed-transfer/acknowledgment locations in Charity without exposing brokerage credentials.
Next step
Coordinate written instructions among the charity, custodian and qualified tax adviser.
Sources
Primary sources reviewed 2026-09-14. A source describes its own rules; the fictional examples illustrate questions, not a recommendation.