Estate planning and charities: Know your options

Planning is key to optimizing the tax benefits of giving.

Gail Bebee 14 May, 2018 | 5:00PM
Facebook Twitter LinkedIn

A charitable donation is an exceptionally constructive approach to reducing the income tax you pay. Your donation supports a worthy cause, and you receive federal and provincial or territorial non-refundable tax credits. This advantageous tax treatment also applies to the tax owed by the estate of a deceased person. There are a number of other tax rules that favour charitable giving in the context of estate planning.

Keep in mind that true charitable intent is key in pursuing the tax benefits of charitable giving. Even with the tax breaks, you will be giving away money.

There is much to consider before making an actual charitable donation. Begin by fleshing out your philanthropic objectives. What causes do you want to focus on? Which charities are you interested in supporting?

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free
Facebook Twitter LinkedIn

About Author

Gail Bebee

Gail Bebee  Gail Bebee is an independent personal finance speaker, teacher and the author of No Hype--The Straight Goods on Investing Your Money. She can be reached at gbebee@gailbebee.com; her website is www.gailbebee.com.

© Copyright 2021 Morningstar, Inc. All rights reserved.

Terms of Use        Privacy Policy        Cookies