Donor Advised Funds are registered charities in Canada that allow a donor to donate to the charity but the donor retains the ability to recommend which registered charities or qualified donees will receive the funds. Donor Advised Funds or DAFs…
STEP Canada had a CRA Roundtable on June 6-7, 2019 and they discussed a number of topics. One issue of interest to charities and philanthropists is Question 2 dealing with alter ego trusts and donations. Essentially CRA takes the position…
We have created two new online courses for those outside of Toronto who are not able to easily attend our programs. They might also be helpful to those in Toronto who cannot wait for our next session as they sometimes only…
I will be speaking at the CFA Society of Toronto 2019 Wealth Conference on May 1, 2019 dealing with the topic ”Professional Advisors and Philanthropy: Helping clients and yourself navigate philanthropy”. You can register for the program here. Here is the…
An interesting little case in BC called Bodner Estate. Irene Bodna died and left about 8m to 24 different registered charities and non-profits that are all interested in animal welfare and the environment. A small amount was as an outright…
Here is a letter from CRA discussing when an official donation receipt can be issued for a gift from an estate and how the 2016 changes affect this. Here is the text of the letter: “LANGIND E DOCNUM 2018-0745851C6 AUTHOR…
There are certain rules in the Income Tax Act that only apply to private foundations and not charitable organizations and public foundations. These rules are called the 'excess business holdings' regime or 'excess corporate holdings' regime. They limit the amount…
The Institute of Legacy Management has published voluntary ethical guidelines for charities' legacy professionals, covering issues that can arise when charities receive or solicit a legacy or bequest, including: doubts about the source of the donor's income or the donor's…
Here is our Blumbergs’ Receipting Kit for Canadian registered charities 2018. If you wish to receive updates on the Receipting Kit you should join our Blumbergs email newsletter to receive regular updates on charity compliance issues affecting Canadian registered charities. There is…
Here is a recent archived presentation Philanthropy and First Nations with Richard Bridge which explains the importance of philanthropy with Indigenous groups and how Bands and other organizations can become qualified donees and take advantage of philanthropic interest. Link: https://attendee.gotowebinar.com/recording/5404821320772560652
The Department of Finance has released the 2018 Report on Federal Tax Expenditures. The document is over 300 pages and discusses the financial costs of certain Canadian tax measures including donation tax incentives. These costs are referred to as “tax…
P113 – Gifts and Income Tax 2017 is the main CRA publication dealing with gifts and their income tax consequences for Canadian taxpayers. The publication has been revised with some minor changes in 2017. They reflect that the rules for…
The US House and Senate are looking at major changes to the tax code that could have a significant impact on US donors and whether they receive any tax incentives for their donations. Now, 1 in 3 US donors may get…
Many Canadian charities conduct gala dinners although it seems fewer than in the past. We recently spoke to CRA regarding the amounts that should be deducted for gala dinners as an advantage when issuing receipts. CRA said that any costs to…
CRA recently released a letter that discusses whether a transfer of property by a corporation to its shareholder that is a private foundation is a gift for purposes of section 38(a.1) of the Income Tax Act (Canada) such that the taxable capital…
The Canada Revenue Agency recently released its views on when the adjusted cost base of a life insurance policy may be used to determine the cost of a life insurance policy when a life insurance policy is gifted to a…
CRA has recently released two new videos as part of their Gifting and Receipting video series. These videos are as follows: Auctions: when you can issue donation receipts and Auctions: advantage and 80% rule. The CRA videos can be…
We have provided two letters recently released by the Canada Revenue Agency. The first letter from CRA discusses the income tax treatment of payments made by a church to a Syrian refugee family. The second letter from CRA discusses whether a registered charity can return…
We have provided two letters recently released by the Canada Revenue Agency. The first letter from CRA discusses whether a donation to a fund maintained and controlled by a municipality constitutes a gift for income tax purposes. The second letter from…
Canada has a mechanism to recognize certain foreign universities for purposes of donations. It is probably the most generous tax incentive system of any country in the world. Essentially if you are a degree granting university outside of Canada and…
Kate Robertson and Mark Blumberg recently prepared Part 2 of the article series, Guidance for Professional Athletes considering Philanthropy in Canada. This article provides suggestions and tips for professional athletes (and their trusted advisors) with respect to estabishing and operating a successful Canadian registered…
Kate Robertson and Mark Blumberg recently prepared an article, “Some thoughts on Professional Athletes and Philanthropy in Canada: Part 1” which provides helpful information and guidance for professional athletes and their trusted advisors who are exploring philanthropic options in Canada. Part 2…
CRA recently released its first video as part of a new educational video series on 'Gifting and Receipting'. This series is meant to educate the public, donors, and those involved in the charitable sector on the type of donations that…
As a result of the 2016 Quebec Budget, Canadian registered charities are no longer required to complete a separate charitable registration in Quebec in order to be able to issue tax receipts to donors in Quebec. Previously, Canadian registered charities…