In order to calculate your charitable tax credit you must determine the elegible amount of your charitable donations. Once you have determined whether your donations are eligible or not, you must work out the total amount of donations you wish to claim. In any one year, you can claim:
- Donations made by December 31 of the applicable tax year;
- Any unclaimed donations made in the previous five years; and
- Any unclaimed donations made by your spouse or common law partner in the year or in the previous five years.
You are able to claim eligible amounts of gifts up to 75% of your net income. For gifts of certified cultural property or ecologically sensitive land, you are able to claim up to 100% of you net income.
Charity tax credit is a non-refundable tax credit. It can only be used to reduce tax owed, if you do not owe any tax, you do not get a refund. Generally your tax savings will equal the amount of charitable tax calculated.
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