Donating Stock to Charity rather than cash
With a charitable gift of appreciated securities held long-term, the donation you make and the
deduction you get are greater than they would be if you were to sell the shares and donate the
cash proceeds instead. That is because when you donate shares, you avoid paying the capital
Donation of shares
There are two ways of making a donation of securities:
1) Instruct your Broker or Investment Banker to transfer the stock to the Investment Account of
the Charity. This is sometimes difficult because one must obtain the details of the Investment
Account of the Charities in question. And there are different forms to complete.
2) An easier and straight forward solution, is to deal with one Charity only:
CANADIAN NATIONAL CHRISTIAN FOUNDATION (CNCF) c/o
Greta Luimes, CFP, General Manager Canadian National Christian Foundation 89 Auriga Drive, Ottawa ON K2E 7Z2 1-866-580-9319 ext 102 Direct line: (343) 804-0306 Find out more about CNCF https://www.cncf.ca/
You e-mail Greta at < email@example.com > and she sends you 2 short pdf forms:
1) authorizing your Investment Banker/advisor/broker to transfer the Securities (shares, Mutual
Funds, etc.) from your portfolio to CNCF, and
2) to CNCF to sell the Securities and distribute the proceeds to the charities of your choice.
Your broker sends the Securities from your portfolio to CNCF, and the latter sells them and
sends cheques to the charities.
They retain a fee of 1%. (compared to 4% retained by CanadaHelps) The whole transaction
takes about two weeks.
The donor receives the Income Tax receipt from CNCF (Gifts in Kind).
Start early for 2020 Tax Receipt!