"The value of the gift or donation could be calculated as the fair market value of the securities on the date of actual transfer. This would give the donor or gift giver two benefits: exemption from capital gains tax on the securities; and tax-deduction on the amount from their income," suggests Kunal Bajaj, founder and CEO, Clearfunds.com. He says the change would not only promote the practice of gifting investments, but also allow people to donate to worthy charities without worrying about taxability.
