Gifts of Securities

Giving stocks and bonds that have increased in value (and that you have owned for more than one year) provides even greater tax benefits than giving cash.

Not only is the market value of the securities deductible (subject to applicable limitations), but you also avoid paying the capital gains tax on the appreciation.

The value of a securities gift is the median of the high and low market price of the stock or bond on the date of your gift. You are entitled to deduct the gift value of securities for up to 30 percent of your adjusted gross income. (The maximum allowable deduction for all charitable contributions in any given year is limited to 50 percent of an individual's adjusted gross income.) Any excess can be carried over for an additional five years.

Stock Transfer Instructions: If stock is held in custody with a brokerage firm or bank trust department, the donor will make a direct transfer of the securities from the custodian firm or bank to the Foundation's account at Merrill Lynch in Tyler, Texas. The donor should instruct the holding institution to make a direct transfer, known as a "DTC" with the following instructions:

Line 1: DTC # 2335
Line 2: Merrill Lynch
Line 3: Acct# 549-04142
Line 4: Tyler Junior College Foundation

Donor should notify the Foundation Office of the transfer of stock and indicate how their gift is to be used (example: scholarships, buildings, or as an annual gift). This will enable the Foundation to acknowledge a gift promptly and respect any restrictions or preferences they may have for the use of the gift.