Why Donate??

Unlike business "write-offs" or other tax-saving initiatives, charitable donations qualify for a tax credit rather than a tax deduction. A tax credit directly reduces your tax liability, whereas a tax deduction reduces your income that is subject to tax.

In Canada, your first $200 of charitable donations qualifies for a 17 per cent federal tax credit (23.4 per cent federal/provincial combined). After $200, you will get a credit of 29 per cent (36 per cent federal/provincial combined). So, even if you are not interested in donating for altruistic reasons, keep in mind that charitable contributions offer you some significant tax savings (especially after your first $200). All donations at CanadaHelps are tax-receipted. If you have an account with us you can easily keep track of your charitable spending over the course of each year.

Charitable donations must be made by midnight December 31st to qualify for a credit in that taxation year. However, you can carry-forward donation receipts for up to five years - a useful tip to get you closer to the over-$200 donation amount for the bigger tax credit.

Please be sure to contact your financial advisor should you have detailed or advanced questions about your charitable gifts and how they affect your income tax.