Donating securities is a great way to make a significant investment in your beloved Symphony Orchestra. It gives you more giving power while reducing the amount of income tax you will have to pay.
When you make a gift of securities to the Mississauga Symphony Orchestra, you know that your are securing the existence of the Orchestra, you are investing in the ongoing musical education of the children, our next generation, and you are supporting the ever changing culture of your community.
Donating securities has twice the benefits as making a regular cash donation. Not only will you get a charitable tax receipt, but you will also eliminate capital gains tax on the donated securities.
How does it work? When you make a gift of securities, you receive a charitable tax receipt for the full market value (closing price) of your securities on the day of the deemed disposition, providing you with a non-refundable tax credit that will reduce your income taxes. You can use this tax credit in the year of your gift or carry it forward for up to five additional years.
In addition to getting a charitable tax receipt, you pay no capital gains tax on the appreciated value (increased price) of your securities. Therefore, a wise strategy might be to donate securities that have a very low cost base and that have appreciated significantly. We always advise to speak with your investment advisor or accountant to decide how best to donate your securities.
So donating securities to the Mississauga Symphony Orchestra helps you:
- avoid tax on capital gains
- maximize your return on your investment
- protect your tax credits for use against other taxable income
- make a larger contribution to your charity
The chart below shows the tax advantage of donating securities to the Mississauga Symphony Orchestra instead of selling them and donating the proceeds*.
* Scenario assumes a marginal tax rate of 46%
** $4,080 represents the full value of $5,000 minus the estimated tax of $920
This scenario is for illustration purposes only and will vary depending on each individual’s tax situation.
A gift of securities is a win for you and a win for your beloved Orchestra. You are able to donate $920 more AND your tax credit is $424 more!
For more information, contact Claudine LaRochelle at (416) 704-0238 or Claudine.LaRochelle@mississaugasymphony.ca
1. You or your investment advisor can fill out the form below.
2. You will receive an email confirmation from CanadaHelps.org which will include a Letter of Direction form.
3. Fill out the Letter of Direction and send to your investment advisor.
4. It takes a couple of weeks for the whole process to be completed. As soon as it is completed, both you and we will receive confirmation from Canada Helps that the donation has been done stating the total amount of the sold securities.
5. After the donation is complete, you will receive your Tax receipt directly from Canada Helps.