How Finance’s Private Corporation Tax Proposals Will Affect Gifts to Charity
Click to read more on this post from >> Miller Thomson’s Social Impact Newsletter October 19th 2017
Donation Tax Credit Mismatch
It is a truism that Canadians who donate enough to charity at death can eliminate tax. This outcome is due to the 100% contribution limit for gifts by will and direct designation gift of registered funds and life insurance. Since 2015, however, Ontario, Quebec, New Brunswick and Yukon have increased the top marginal tax rate, but not top donation tax credit rates.
Post from All About Trusts and Estates, Author Malcolm Burrows
Estate Donations & Non-Qualifying Securities
Since the announcement of the “estate donation” rules in the 2014 Federal Budget, there have been a number of amendments that have addressed sector concerns and drafting errors. One unintended consequence in the original estate donation provisions relates to gifts of private company shares. At the June 2015 STEP conference in Toronto, Canada Revenue Agency
Written by Malcolm Burrows published in All About Estates November 14th, 2016
Combination Gift Plans
Combining estate plans and lifetime financial plans can be challenging, especially for individuals who have dedicated a significant portion of their estate to charity, for example 50% or more. Wills are often drafted independently of lifetime financial plans. The drafting lawyer may not ask the question “is it prudent and advantageous to start giving major gift during life?”. In certain situations, there are significant tax and philanthropic benefits to start estate donations during life.
Posted in All About Estates October 24, 2016 – 8:51 am | by Malcolm Burrows
A Guide for Professional Advisors
CAGP have compiled A Guide for Professional Advisors from the recent WealthProfessional.ca series, 10 Weeks/10 Ways, into an eBook. The articles build on CAGP’s 2014 study, The Philanthropic Conversation, and provide an array of facts, insights, and advice for professional financial advisors.
Finance Issues Important Amendment on New Estate Donation Rules
The Department of Finance has listened to Canadian Association of Gift Planners!
Over the last year, CAGP has expressed concern to the Department of Finance over new legislation which came into effect on January 1st and which had a potentially negative impact on estate gifts. Specifically, it noted that the 36 month timeframe to settle a graduated rate estate was too limited, possibly putting the tax credit from a charitable gift at risk in situations where an estate is complex, illiquid or litigious.
An amendment to this legislation announced by Finance this past Friday responds to this issue by extending this period to 60 months after the individual’s death. For more information, please see the Backgrounder from the Department outlining this and other amendments to the legislation.
CAGP thanks the Department of Finance for this important change and for their continued support of a positive tax environment that enables charitable giving in Canada. Special thanks also to CAGP’s Government Relations Committee for their leadership and expertise on this important matter.
Message from the National Office of CAGP posted Jan 19, 2015