Gifts of Securities

Turn Investments into Impact

Did you know the Canada Revenue Agency does not apply a capital gains tax on publicly traded securities when they are donated directly to a charity?

How does this benefit you?

When shares are sold, there are typically taxes on the capital gains, even if you plan to donate the proceeds. When you donate your securities directly to the Mental Health Foundation of Nova Scotia, the capital gains are not subject to tax, and you will benefit from a tax receipt for the full value of your eligible securities.

AN EXAMPLE: If you purchase shares at $1,000, and the value of those shares increases to $2,500, the capital gains are $1,500. For example, in 2021 under the current tax rules, 50% of the gain ( $750) is added to your taxable income in the year of your donation. If you sell those shares and donate the proceeds, you will owe tax on the $1,500 capital gains. When you donate the shares directly to the Mental Health Foundation of Nova Scotia you do not have to pay the capital gains tax, and your net tax advantage will be larger.