Outright Gift Options

Cash and Pledges (top)
Cash gifts and pledges are deductible for federal income tax purposes up to a limit of 50% of your adjusted gross income. Where cash gifts exceed this limit, you may carry over the excess for up to five additional years. Gifts or pledges made to the University’s unrestricted fund give Morgan the greatest flexibility to respond to shifting priorities and needs. The unrestricted fund helps provide scholarships, faculty and staff development, invest in new technology and equipment, and enhance the physical plant.

Stocks and Bonds (top)

Some donors prefer the additional tax advantages of making their gift in the form of appreciated securities rather than cash. Please consult your financial advisor for details, but generally, you are entitled to a charitable income tax deduction for the full value of your gift, if the securities have been owned for more than 12 months. In addition, capital gains tax may be avoided, which would have been owed if the securities were sold. Gifts of securities are deductible for federal tax purposes up to a limit of 30% of your adjusted gross income.

Closely Held Stock (top)

If you own stock in a closely held corporation, the stock can be used to make a gift to Morgan that will bring substantial tax benefits. A number of strategies can be used to structure the gift.

Gifts of Personal Property (top)

In planning your estate, remember that valuable collections, works of art, and other forms of tangible personal property may be subject to estate taxes. By donating such items during your lifetime rather than after death, the taxable estate value is reduced, but your taxable income in the year the gift was donated is also reduced.

For a gift of tangible property, you are entitled to an income tax charitable deduction amounting to the property’s full, fair market value, provided the use of the object is directly related to tax-exempt functions at Morgan. If the property cannot be used directly, your tax deduction is the lesser of the property’s original cost or the fair market value. Appraisals are the responsibility of the donor.

Gifts of Real Estate (top)

Almost any kind of real estate can make a valuable gift, including a primary residence, vacation home, farm, commercial real estate, or an undeveloped parcel of land. You can even contribute your residence now and still reside in it for life.

As with gifts of appreciated stocks, bonds, mutual funds, and personal property, no capital gains tax is due when appreciated real estate is donated; you are entitled to an income tax deduction in the amount of the appreciated value of the real estate; and estate taxes are avoided on the appreciated asset. Appraisals are the responsibility of the donor.

The Morgan State University Foundation will accept real estate that is:

• Free of hazardous waste and environmental concerns
• Marketable
• Free of debt or liens
• Free of donor conditions

In all cases, please consult your financial advisor for guidance.

For more information on donating to the MSU Foundation, please contact:

The Office of Development
201 Truth Hall
443.885.3040
development@moac.morgan.edu