OTTAWA, March 19 /CNW Telbec/ - Canada's private philanthropic community
welcomed today's federal budget announcement that donations of public shares
to private foundations will no longer be subject to capital gains tax. The
donation of shares has become integral to charitable giving in Canada,
especially following a similar tax policy change introduced in last year's
federal budget that eliminated the capital gains tax on the appreciated value
of shares donated to public charities.
"Private foundations make unique and invaluable contributions to Canadian
society, helping to advance important public priorities. This tax change will
spur donations and enable private foundations to do even more for Canadian
communities," said Hilary Pearson, president of Philanthropic Foundations
Every year, Canada's more than 4,000 private foundations contribute close
to $1 billion to Canadian registered charities. These small, and in many
cases, family-led organizations distribute grants across Canada's voluntary
sector, supporting education, health, social services, the environment, the
arts and many other community causes.
"Equal tax treatment for donors to public and private foundations will
benefit the entire charitable sector," said Peter Warrian, managing director
of Toronto's Lupina Foundation, which focuses its funding on innovative
research into health and social issues. "Stronger private foundations will be
able to lend even more support to registered charities across Canada."
In making this policy change, Canada will join the United States and
United Kingdom, both of which offer equal tax treatment for donors to public
and private foundations.
For further information:
For further information: please contact: Hilary Pearson, President,
Philanthropic Foundations Canada, (514) 866-6818, email@example.com