Ways to Support amfAR
amfAR provides vital funding to scientists who bring innovative ideas and new energy to the HIV cure research field. But to make sure we support as many worthwhile studies as possible in the effort to end AIDS once and for all, we need your help, and we are offering you exciting and tax-advantageous ways to give.
More and more, donors like you are making tax-smart gifts from assets like stocks, qualified charitable distributions (QCDs) from retirement accounts, grants from donor-advised funds (DAFs), and cryptocurrency instead of donating cash. These options can lessen your tax burden while also helping to advance amfAR’s lifesaving work.
Through our partnership with FreeWill, we’re able to provide you with easy-to-use online tools that make gifts of stock, QCDs, DAF grants, and cryptocurrency a breeze.
Donors like you often find they can make a larger impact at less cost through donations of stock instead of cash. Giving stock allows you to avoid paying capital gains taxes and potentially to receive a tax deduction for the full value of the gift. In addition, amfAR is able to use the full value of the stock to fund important HIV cure research projects.
Following is the information necessary to transfer stock to our account:
Account name: The Foundation for AIDS Research (amfAR)
DTC number: 8862
Account number: 879-07002
Tax ID Number: 13-3163817
amfAR Broker Contact: Matthew Leone, Merrill Lynch Global Wealth Management, Two World Financial Center, 39th Floor, New York, NY 10281 (212) 236-5546
Qualified Charitable Distributions (QCDs) from IRAs:
If you are 70.5 or older and you have a traditional IRA account, you are eligible to donate directly to amfAR from your account through a qualified charitable distribution (QCD). In addition, if you are age 73 or older, you must receive a required minimum distribution from your IRA each year, which is taxable. Many people are surprised to learn about the tax benefits of donating through their IRA, instead of giving cash.
If you are 73 or older, there is a 25% tax penalty if you don’t withdraw your required minimum distribution from your IRA each year. In addition, if you withdraw the funds personally and then make a charitable donation, you will have to pay 37% federal income tax on those funds. But if you donate to amfAR directly from your IRA, the donation will count towards your required minimum distribution, you will avoid the federal income tax, and you will be able to take the full amount of your charitable donation as a tax deduction. Clearly, for IRA holders 73 or older who have to take required minimum distributions but don’t need the extra funds to live on, QCDs are a great way to give.
Donor-Advised Funds (DAFs):
Donor-advised funds (DAFs) are charitable giving accounts that philanthropic people set up with a custodian, typically a financial services firm. DAFs enable donors to set aside a pool of money (cash, stock, cryptocurrency, real estate, etc.) for future philanthropic gifts. The custodian liquidates any non-cash assets, and all of the money is invested until it is distributed to charity (all at once or gradually over the years) at the donor’s discretion. Because the assets/funds invested in the account have been irrevocably earmarked for charity, the donor receives an immediate tax benefit in the form of an itemized tax deduction for income tax purposes. At any time, the donor may recommend a grant from the DAF to any qualifying charity.
Donor-advised funds provide several benefits over direct donations to amfAR, including
- Simplicity – The DAF sponsor handles all record-keeping, disbursements, and tax receipts.
- Flexibility – Timing of your tax deduction can be separate from your charitable decision making.
- Family legacy – A DAF is a powerful way to build or continue a tradition of family philanthropy.
- No start-up costs – There is no cost to establish a donor-advised fund. However, there are often minimum initial charitable contributions to establish the DAF (typically $5,000 or more).
- No transaction fees – Once approved, 100% of your recommended grant goes to amfAR.
- Privacy if desired – Donors may choose to remain anonymous.
Cryptocurrency and non-fungible tokens (NFTs) are considered to be virtual currency. The IRS treats virtual currency as property, and general tax principles applicable to property transactions apply to transactions using virtual currency. When you sell virtual currency, you must recognize any capital gain or loss on the sale, subject to any limitations on the deductibility of capital losses.
Many donors who invest in cryptocurrency or NFTs have recognized that donating such funds to charities like amfAR can help them both avoid capital gains taxes and receive a big tax deduction at the same time.
Join the many amfAR donors who have switched from giving cash to one of these smarter ways to give and help end AIDS once and for all!
Questions about supporting amfAR?
Please contact us at email@example.com.