Think Outside the Check: Unlock Noncash Assets for Charity and Tax Benefits
Contributing noncash assets to the ImpactAssets Donor Advised Fund (DAF) can be a smart move for both your tax strategy and your charitable goals. In 2025, nearly half of our contributions were noncash.
Key Takeaways
- You can donate private stock, real estate, crypto, art, and other noncash assets to an ImpactAssets DAF.
- Giving an appreciated asset directly, instead of selling it first, may help you avoid capital gains tax. The deduction depends on the asset.
- In 2025, 48% of contributions to ImpactAssets were noncash assets.
- Complex gifts need review before they're accepted, so contact us well before December 31.
When most people think about charitable giving, they picture writing a check or donating publicly traded stock. However, for those with more diverse portfolios, there’s a powerful and often underutilized strategy: donating atypical and illiquid assets.
Perhaps you own rental property that you're ready to offload. Or you hold cryptocurrency with significant gains. These assets can often represent some of your greatest wealth, and your greatest potential tax exposure if you sell them.
The challenge? Most charities and many donor advised funds lack the infrastructure to accept these types of contributions.
The ImpactAssets Donor Advised Fund is built to accept a wide range of noncash assets* to fuel both philanthropic giving and impact investing.
What can you donate to an ImpactAssets DAF?
Beyond cash and appreciated stock, you can donate:
- Private company stock
- Restricted securities
- Cryptocurrency
- Fine art and collectibles
- Real estate
While many charities are unable to accept these types of gifts directly, ImpactAssets has established the necessary infrastructure and partnerships to handle the complexity.
Why donate noncash assets to a DAF?
Donating noncash assets to the ImpactAssets DAF offers several advantages:
- Tax Efficiency: If you've held an appreciated asset for more than a year, donating it directly may help you avoid the capital gains tax a sale would trigger, in addition to receiving a deduction for its fair market value. The rules vary by asset. For example, art and collectibles are generally deductible at cost basis, and most gifts over $5,000 need a qualified appraisal.
- Philanthropic Flexibility: Once the asset is accepted and sold, you can recommend grants from the proceeds over time, so you don't have to make all your philanthropic decisions at once.
- Impact Investing Opportunities: Through the ImpactAssets Investment Platform, you can invest your philanthropic assets in options that seek both financial returns and social and environmental benefits.
See how the numbers work in our example of a founder who gives $4M of stock.
ImpactAssets: Your Expert Partner
In 2025, 48% of contributions to ImpactAssets came in the form of noncash assets, so our team reviews and processes these gifts routinely. Benefits of partnering with us include:
- Dedicated Client Service and Operations Teams: Skilled specialists review each asset, coordinate with your advisors, and manage the transfer and sale.
- Impact Investment Platform: Once your gift is converted to cash, you can recommend investments in turnkey portfolios, as well as private companies, funds, and nonprofits that reflect your values.
- Flexible Contribution Options: From real estate to private stock, ImpactAssets makes it possible to turn unconventional assets into meaningful impact.
One donor's story
A founder of a consumer goods company was thinking about selling, and she wanted to give part of her shares to a cause she cared about deeply. She transferred the shares to her ImpactAssets Donor Advised Fund, and it held them until the sale closed a few months later. The proceeds went into her account, where she could recommend grants and impact investments to many organizations over time. The shares had grown in value, but she avoided capital gains tax on the growth and was able to deduct their appraised fair market value.
Why Noncash Gifts Take Planning
Naturally, donating noncash assets can add complexity. Some may have transfer restrictions or require an independent appraisal, ownership documents, or a plan to sell the asset. We encourage advance planning to allow for any lead time needed for valuation or liquidation of the assets. This will help ensure a smoother process.
With the end of year approaching, contributing noncash assets can be a smart move for both your tax strategy and your charitable goals. If you hold assets that are difficult to donate elsewhere, now is the time to explore how the ImpactAssets DAF can help unlock their philanthropic potential.
Have an asset in mind? Schedule a 15-minute call with our team.
Frequently Asked Questions
Can I donate private company shares before a sale or IPO?
Yes, in many cases you can donate private company shares before a sale or IPO. The gift generally has to be made before the sale is all but certain, and the shares need review first, so contact us as early as you can.
Do I need a qualified appraisal to donate noncash assets?
For most noncash gifts worth more than $5,000, other than publicly traded stock, you need a qualified appraisal to claim the deduction. You arrange and pay for the appraisal and report the gift on IRS Form 8283.
How long does it take to donate a complex asset?
Donating a complex asset can take several weeks or longer, depending on the asset. Review, valuation, and transfer all take time, so contact us well before December 31 if you want the gift to count this year.
Are there fees for donating noncash assets?
Donating noncash assets can involve extra processing costs, which reduce the amount that reaches your DAF. Our team can tell you what to expect for your asset before you give.
This does not constitute tax advice. Please consult with your tax specialist before making any donations.
*Noncash assets are subject to review and acceptance. Minimums may apply. Timelines for liquidating assets may vary depending on complexity of the asset and may also incur additional fees.
LEGAL AND PROGRAM DISCLAIMER: This is not a solicitation to buy or sell securities, nor a private placement offering pursuant to any private placement memorandum that must be issued to qualified investors. It is an informational description of charitably oriented, social purpose investment options that have been approved by ImpactAssets only for use in its donor advised fund asset base. It is only for use by its donors. This does not constitute tax advice. Please note there are a number of factors to consider when assessing the tax implications of gifts to charity. ImpactAssets does not provide legal or tax advice, nor does it assume liability for the tax consequences of any client. Individuals should consult with a tax specialist regarding the tax implications of employing a tax strategy before investing or making a charitable donation.
Any allocation to private debt and equity investment options may result in losses and illiquidity that will be borne solely by each donor advised fund account with investment in these options, as will associated program fees. Investment minimums apply. Grant making from the principal value will not be possible until distributions are returned to the ImpactAssets Donor Advised Fund. There is no guarantee of any recovery of capital. No assurance can be given that investment objectives or targets/projected returns will be achieved. Actual target may vary and should not be considered or relied on as a performance guarantee. As applicable, Fund Managers have not approved the information contained in the respective Fund profiles, including the assignment of risk ratings contained therein. The Units may be offered solely to, and subscriptions will be accepted only from “Accredited Investors,” as defined in Rule 501(a) of Regulation D promulgated under the authority of the Act, who are also “Qualified Clients,” as defined in Rule 205-3 of the United States Investment Advisers Act of 1940, as amended.
