- Read the Guide
- 1 - Getting Started
- 2 - A Full-time Versus a Part-time Program
- 2.1 - The Investment of Money and Time
- 2.2 - Operational Revenues and Staffing
- 2.3 - Major Components of a Planned Gifts Program
- 2.4 - Tracking the Program's Activities
- 2.5 - Measuring Success of the Program
- 2.6 - Managing the Marketing of the Program
- 2.7 - Endowments Held by Other Institutions
- 2.8 - Running An In-house Program
- 2.9 - Presenting the Idea to the Board of Directors
- 3 - The Road to Planned Giving
- 3.1 - The Members of the Committee
- 3.2 - Functions of the Committee
- 3.3 - Recruitment of Knowledge
- 3.4 - Volunteer Time Commitments
- 3.5 - Conflict of Interest
- 3.6 - Gift Acceptance Committee
- 3.7 - Committee's Review Gift Strategies
- 3.8 - Issues with Policies and Procedures
- 3.9 - Deed of Gift
- 3.10 - Legislation and Registered Charities
- 3.10.1 - ITA Sections 248(30) - (41)
- 3.10.2 - ITA 248(31) Eligible Amount of Gift
- 3.10.3 - ITA 248(32) Amount of Advantage
- 3.10.4 - ITA 248(33) Cost of Property Acquired
- 3.10.5 - ITA 248(34) Repayment of Limited Recourse Debt
- 3.10.6 - ITA 248(35) Deemed Fair Market Value
- 3.10.7 - ITA 248(36) Non-arm's Length Transactions
- 3.10.8 - ITA 248(37) Non-application of Subsection 35
- 3.10.9 - ITA 248(38) Artificial Transactions
- 3.10.10 - ITA 248(39) Artificial Transactions
- 3.10.11 - ITA 248(40) Reasonable Inquiry
- 3.10.12 - ITA 248(41) Information not Provided
- 3.11 - Policies and Procedures
- 4 - Bequests
- 5 - Life Insurance, RRSP, RRIF, and TFSA
- 5.1 - General Information
- 5.1.1 - Ways to Gift Life Insurance
- 5.1.2 - Criteria for Accepting a Gift of Life Insurance
- 5.1.3 - The Ideal Donor
- 5.1.4 - How Does One Find The Ideal Donor?
- 5.1.5 - Types of Insurance
- 5.1.6 - Good Life Insurance Policies to Gift
- 5.1.7 - Problems and Concerns with Insurance
- 5.1.8 - A Case Where Insurance Failed
- 5.2 - Tax Implications
- 5.2.1 - Gift of an Existing Policy
- 5.2.2 - Gift of a New Policy
- 5.2.3 - New Policy versus Investment in Endowment Account
- 5.2.4 - Gift of a Life Insurance through the Will
- 5.2.5 - Gift of Life Insurance by Changing Beneficiary
- 5.2.6 - Disbursement Quota Issues
- 5.2.7 - Gift of RRSP, RRIF - General Information
- 5.2.8 - Gift of RRSP, RRIF - Tax Implications
- 5.2.9 - Gift of RRSP, RRIF - Benefits and Pitfalls
- 5.2.10 - Gift of a Tax Free Savings Account
- 5.3 - Gift of Insurance Through Personal Corporations
- 5.4 - Life Insurance - Gift Opportunities and Ideas
- 5.4.1 - Multiple Charities as Owners
- 5.4.2 - Replacement of Taxable Assets
- 5.4.3 - Leveraged Life Insurance
- 5.4.4 - Potential Problems (risks) - Interest and Premium Payments
- 5.4.5 - Potential Problems (risks) - Charity Involvement with Referrals
- 5.4.6 - Options for the Charity
- 5.4.7 - Harvesting Cash from Existing Policies:
- 5.4.8 - Insurance Policy as Advantage – not a Viaticle Settlement
- 5.5 - Common Questions and Answers
- 5.5.1 - Can I use insurance to help more than one charity?
- 5.5.2 - What if the donor changes his or her mind OR, for some other reason, stops paying the premiums?
- 5.5.3 - What if I (charity) forget to pay the premium by the due date?
- 5.5.4 - What is guaranteed insurance?
- 5.5.5 - What steps can be taken to assist a donor with making term payments for life?
- 5.5.6 - What is my (charity's) role in the gift of life insurance?
- 5.5.7 - Can I pay my insurance premiums with publicly traded securities?
- 5.6 - Summary of Key Factors
- 5.1 - General Information
- 6 - Annuities
- 6.1 - General Information
- 6.2 - Annuities - Tax Implications
- 6.2.1 - Advantage and Annuities
- 6.2.2 - Annuity Calculations: Tax Receipt
- 6.2.3 - Residual Payments from Guaranteed Annuities
- 6.2.4 - Determining the Actual Gift to the Charity
- 6.2.5 - Re-insured Gift Annuities - Determining the Payment to the Donor
- 6.2.6 - Non-Prescribed Annuities
- 6.2.7 - Bundled Annuity: How to Make the Payment to the Donor
- 6.2.8 - Reporting Taxable Portions to Donors
- 6.2.9 - When Quotations are not Available
- 6.2.10 - Taxable Issues with the Payment
- 6.3 - Gift Opportunities and Ideas
- 6.4 - Common Questions and Answers
- 6.4.1 - Can a donor change his or her mind
- 6.4.2 - If the charity re-insures, is an insurance agent required, or just advisable?
- 6.4.3 - What is the process where a donor has a taxable portion in his annuity payment?
- 6.4.4 - When do you send out the T4A?
- 6.4.5 - What is the maximum age for a gift annuity?
- 6.4.6 - What is the minimum amount that can be used for a gift annuity?
- 6.5 - Summary of Key Factors
- 7 - Outright Gifts by Individuals
- 7.1 - General Information
- 7.2 - Tax Implications
- 7.2.1 - Tax Basics: Capital Gains and Losses
- 7.2.2 - Personal-Use Property Gains and Losses
- 7.2.3 - Capital Gains and Losses in the Year of Death
- 7.2.4 - Outright Gift: Cash
- 7.2.5 - Personal-Use Property
- 7.2.6 - Capital Gains and Losses for Listed Personal-Use Property
- 7.2.7 - Gifts of Art
- 7.2.8 - Gifts not Subject to the Minimum $1,000 Threshold
- 7.2.9 - Gifts of Property with Debt
- 7.2.10 - Principal Residence - definition
- 7.2.11 - Gifts of Principal Residences
- 7.2.12 - Gifts of Publicly Traded Securities
- 7.2.13 - Gifts of Exchangeable Shares
- 7.2.14 - Private Foundations and Excess Holdings
- 7.2.15 - How to Make a Gift of Publicly Traded Securities
- 7.2.16 - Gift of Securities
- 7.2.17 - Examples: Gift of Securities with Advantage
- 7.2.18 - Gifts of Stock Options
- 7.2.19 - Gifts of Publicly Traded Securities Acquired under an Employee Stock Option Plan:
- 7.2.20 - Gifts of Publicly Traded Securities that do not Qualify for the Special Capital Gains
- 7.2.21 - Gifts of Flow-Through Shares after Budget 2011!
- 7.2.22 - Flow-Through Shares: a simple example
- 7.2.23 - Gifts of Privately Held Securities
- 7.2.24 - Arm's-Length Issues
- 7.2.25 - Capital Gains and Non-qualifying Securities
- 7.2.26 - Property Eligible for the Capital Gains Deduction
- 7.3 - Gifts of Real Estate
- 7.4 - Issues when Property is Received via a Bequest
- 7.5 - Outright Gifts - Opportunities and Ideas
- 7.6 - Outright Gifts- Common Questions and Answers
- 7.7 - Outright Gifts - Summary of Key Factors
- 8 - Outright Gifts by Companies
- 8.1 - General Information
- 8.2 - Corporate Gifts - Tax Implications
- 8.2.1 - Tax Credit versus Tax Deduction
- 8.2.2 - Types of Companies
- 8.2.3 - Ownership of Corporations
- 8.2.4 - Types of Taxes Paid by Private Companies
- 8.2.5 - Refundable Dividend Tax on Hand (RDTOH)
- 8.2.6 - Capital Dividend Account
- 8.2.7 - Adjustments to the Corporate Contribution Room
- 8.2.8 - Gifts of Publicly Traded Securities
- 8.2.9 - Gifts of Depreciable Property
- 8.3 - Outright Gifts - Gift Opportunities and Ideas
- 8.4 - Outright Gifts By Companies - Common Questions And Answers
- 8.5 - Outright Gifts - Summary Of Key Factors
- 9 - Special Gifts
- 9.1 - Trusts - General Information
- 9.2 - CRT TAX IMPLICATIONS
- 9.2.1 - Disposition of the Asset
- 9.2.2 - Gift of Residual Interests
- 9.2.3 - Application of Loan Back Provisions to Gifts of Residual Interests
- 9.2.4 - Loan Forgivness
- 9.2.5 - Special Gifts: Canadian Cultural Property
- 9.2.6 - Tax Incentives Gifts of Cultural Property
- 9.2.7 - Tax Shelters
- 9.2.8 - Tax Shelters After December 5, 2003
- 9.3 - CRT - Opportunities and Ideas
- 9.4 - Common Questions and Answers
- 9.4.1 - What interest rate do you use when valuing a charitable remainder trust?
- 9.4.2 - Can the charity serve as trustee of a CRT?
- 9.4.3 - Can the donor change something after the trust is settled?
- 9.4.4 - Does the 0% income inclusion rule apply to CRT?
- 9.4.5 - Why is the Amount of the Tax Receipt Discounted?
- 9.4.6 - Who pays for the costs of setting up a CRT?
- 9.5 - Special Gifts - USA Cross Border Gifts
- 9.5.1 - The USA Gifting Experience
- 9.5.2 - USA Donors - Implications with FMV
- 9.5.3 - USA Donors - Limits on Deductions
- 9.5.4 - USA Donors - The Estate Tax
- 9.5.5 - USA Donors - The Gift Tax
- 9.5.6 - USA Donors - The Generation Skipping Tax (GST)
- 9.5.7 - USA Donors - The Convention Between the United States of America and Canada (Treaty)
- 9.5.8 - Bequests and the 2007 USA - Canada Treaty
- 9.5.9 - USA Situs Property
- 9.5.10 - Donors - Recording the USA Donor's Gift
- 9.5.11 - USA Donors - How to Make Cross Border Gifts
- 9.5.12 - USA Donors - Special Considerations
- 9.6 - CRA Advanced Rulings/Court Cases/ Technical Interpretations
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A Charitable Guide to Planned Giving
A "Get-To-It" Guide by DeWayne Osborn CPA, CGA, CFP®
DeWayne Osborn
CPA, CGA, CFP®
Resource Centre
Helpful documents, research articles, PowerPoint presentations and much more.
read more..About The Author
Dewayne Osborn is the Vice President and Chief Compliance Officer at Cardinal Capital Management Inc, in Winnipeg (https://www.cardinal.ca). He is also the Head of Cardinal's Philanthropic Services Division (https://www.cardinal.ca/cardinal-philanthropy). He joined the firm in 2017.
As a Certified Financial Planner and Charterd Professional Accountant with more than 15 years of experience serving in senior positions of not-for-profit and for profit organiztions.
DeWayne received the 2003 Certified General Accountants Association of Manitoba Sharing Expertise Award. The association cited his ongoing dedication to numerous charities, as well as his leadership in furthering greater awareness and acceptance of planned giving as examples of a CGA member who has significantly advanced the social and economic life of the community.
In 2011, DeWayne received the innaugural CAGP-Manitoba Friends award as well as the National 19th annual CAGP-ACPDP Friends awards. These awards recognizes individuals and organizations that exemplify the spirit and vision of CAGP-ACPDP™. Furthermore, a "Friend of CAGPAmi(e) de l'ACPDP" must have:
- practiced or operated in an exemplary and ethical manner;
- exemplified vision, talent and dedication to CAGP-ACPDP™ and society;
- made a significant contribution to CAGP-ACPDP™ or to gift planning in Canada.
Purpose of the Web site
This site is intended to provide helpful resources for some of the tremendous financial and philanthropic benefits that can be achieved by applying tax-effective strategies for gifting real property, cash, securities, life insurance products, wills and bequests. However, no resource can provide the answers to all questions. Furthermore, the laws and regulations governing planned giving are constantly changing and their application may vary depending on the circumstances. Therefore, while the information in this Web site should be useful, no representation is made that it is complete. Appropriate professional advice should be obtained prior to implementing the strategies outlined in this or any other Web site.
However, if you can not find what you are looking for, please contact DeWayne directly at dosborn@cardinal.ca or call toll free 1-800-310-4664.
This subscription (see below for rates) based Web site is designed to provide technical information that can be easily updated on a broad number of issues and problems commonly associated with planned giving programs. It is not designed to replace sound financial and legal advice. Rather, it is intended to provide the non-financially oriented fundraiser with enough information to actively solicit planned gifts.
Organization of the Web site
This Web site is designed to minimize the time required to find information.
Key points through out the Web site are highlighted with links to definitions. Further, links to the original technical materials are provided for the reader to peruse at their leisure.
The first three chapters deal with general issues with regard to planned giving (i.e. where to begin a program, suggestions as to how to establish a planned gifts committee, formulate policies, marketing issues, etc.). The middle five chapters deal with the common gift instruments including a section on key requirements for each type of gift. This special information is provided in each section and is designed to give the gift planner a "hit" list of key information needed to do a particular planned gift. The final chapterss deal with Federal and Provincial budget updates, special issues (i.e. cross border gifts), and opportunities for planned gifts.
Rates and Other Information
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| Two-Year Subscription (not including GST): | $250 |
For group discounts, click here and tell me how many users you have and I will give you a quote.
All subscribers are required to submit a user name and password for access to most of the technical materials in this Website. Passwords must be renewed annually to continue to have access to restricted areas of the Website.
Disclaimer of Liability
The author, nor anyone associated with the production of this Web site accept any form of liability for its contents nor any consequences arising from its use.