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Open Collective Foundation is able to receive donations of public stock on behalf of hosted Collectives.
Normally when you sell stock, you have to pay capital gains tax. But if you donate it to a tax-exempt nonprofit, it can be sold tax-free. So everyone wins: the donor gets tax benefits, and the Collective gets a donation to support its mission.
- 1.The owner of the public stock transfers it to OCF
- 2.OCF sells the stock as soon as it comes in
- 3.The proceeds are credited to the Collective's balance
Then, instruct your broker to transfer the stock to:
DTC Clearing Number 0015
FBO Open Collective Foundation
A/C Number: 119-013845-027
No, the proceeds will be credited to the Collective less only OCF's normal hosting fee that is applied to all incoming contributions.
No, OCF is only able to accept public stock that can be immediately sold on the market.