medium · Certified Financial Planner Professional Conduct

A donor in the 37% bracket wishes to give a block of stock to a public charity. The stock is worth 100,000 and has a basis of20,000, held for three years.

What is the amount of her charitable deduction and its associated AGI ceiling?

  1. $100,000 deduction; 30% of AGI ceiling.
  2. $100,000 deduction; 60% of AGI ceiling.
  3. $20,000 deduction; 50% of AGI ceiling.
  4. $80,000 deduction; 30% of AGI ceiling.

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