Make a gift of Real Estate or Property
Your commitment will help to build brighter futures –
Gifts of property can be an attractive way to make a commitment to the Janeway Foundation. Whether it is real estate, jewellery, collections or art, your gift will assist the health care of our province’s children, while offering you important tax and income benefits.
Before making a gift of real estate or other property in your will or estate plan, please contact the Janeway Foundation to advise that you will be making this specific gift, and to ask if the Foundation has any specific policies or procedures concerning the acceptance of this type of gift. Then professional appraisals must be completed by qualified third-party appraisers, determining fair market value of your designated gift.
Once the real estate or other property is legally transferred to the Janeway Foundation, receipts for income tax purposes can be issued for the fair market value.
Example – Mr. and Mrs. Jones purchased a cabin 30 years ago for $60,000. They rarely use this residence and are going to donate it to their favourite charity. After appraisal the fair market value of the property is $200,000. The capital gain on the property is $140,000. Both Mr. and Mrs. Jones have a combined federal and provincial tax rate of 49.8%
| Tax On Gain | |
| Capital Gain Recognized | $140,000 |
| Taxable Gain ($140,000 x 50%) | $70,000 |
| Tax on Gain ($70,000 x 49.8%) | $34,860 |
| Tax Credit | |
| Donation Receipt | $200,000 |
| Tax credit realized over period the receipt is claimed for credit | $99,600 |
| Net Tax Savings | |
| Tax Credit | $99,600 |
| Tax on Gain | ($34,860) |
| Credit Remaining | $64,740 |
If you are considering a gift of real estate or other property to the Janeway Foundation, we encourage you to explore the various donation options with your financial and legal advisors, ensuring that your future gift is as tax effective as possible and takes your family needs into consideration.
To make or discuss a gift of this type please contact Ruth Squires, Manager Telethon & Gift Planning, Janeway Foundation @ 709-777-4382 (B); 709-743-0095 (Cell) or ruth.squires@easternhealth.ca