You can do what everyone else does and buy gifts for friends and family, like you have always done. Or, you can do the unusual and actually gift someone shares in a company that would continue to benefit them every year. To some people, giving stocks as presents might sound impersonal; however, stocks are rewarding and are truly the greenest presents ever - in ways more than one.
Why Gift?Why stocks, you ask? Because they increase in value over time, unlike traditional gifts which usually depreciate in value.
In addition, giving stocks as presents also provide a way to avoid taxes. When stocks appreciate, higher taxes are levied on the capital gains onto those who own them. However, a distribution allows tax exemption. In fact, you can give your children stock valued up to $14,000 for 2014 without incurring any gift tax liability, since any gift in the tax exempt bracket does not need to be reported. As of 2014, an individual can gift up to $5,340,000 in shares during the course of his/her lifetime.
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