TurboTaxHeba
Intuit Alumni

Credits and deductions

To donate shares and not pay taxes on the capital gain, you have to transfer the shares to charity and not sell the securities yourself, you have to transfer the ownership to:

  • the right to receive dividends from the share

  • the right to receive amounts on the liquidation of the corporation

  • the right to exercise the votes attached to the share

In this case, you no longer own the shares. Then the charity will issue you a donation receipt where you report it as a non-cash gift.

 

On the other hand, if you sold your securities yourself and donated the proceeds, you will have to report it as cap-gain. Then report the amount you donated separately under charitable donations.

 

Check this link on donating securities:

https://www.canada.ca/en/revenue-agency/services/charities-giving/charities/operating-a-registered-c...

 

I hope this was helpful