Capital Gains Exemption

Fifty percent of a capital gain is taxable when securities are sold. For donations of eligible securities made after May 2, 2006 to the Lake of the Woods District Hospital Foundation, there will be no tax calculated on any of the capital gain. A tax receipt for the gift in addition to the capital gains exemption provides you with the opportunity to employ a much more tax-effective strategy than by selling the securities first and then donating proceeds.