Gifts of Real Estate
A gift of real estate allows you to give an immediate gift and receive a charitable tax receipt for the property’s fair market value. Gifts of real estate include principal residences, farms, land and commercial properties. Giving a gift of real estate allows you to simplify your estate and give to The Children’s Hospital Foundation of Manitoba during your lifetime. This type of gift may be appealing if you are looking at ways to reduce your income tax now and are not in need of the dollar proceeds from the sale.
The Benefits to You
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Opportunity – It enables you to make a larger gift than you could from your day-to-day cash flow.
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Tax Advantages – You receive a charitable tax receipt thereby increasing your after-tax income. The five-year carry forward tax provision allows effective tax planning while alive rather than the one-year carry back tax provision upon death. If your principal residence is donated, no capital gains tax is triggered and a charitable tax receipt will be issued by The Children’s Hospital Foundation of Manitoba for the full fair market value of the property.
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Reduction of Fees – Your asset has been removed from your estate thereby decreasing probate fees upon death.
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Recognition – Your gift may be honoured during your lifetime, should you wish.
How does it work?
The Children’s Hospital Foundation of Manitoba begins the valuation process using an independent appraiser. After the fair market value is determined, you sign and deliver a deed transferring the property to the Foundation. The Foundation will issue a charitable tax receipt for the property’s value as of the day the transfer takes place. Some conditions may apply before the Foundation may accept these gifts.
For further information, please call our office at 204-787-4400 or email info@goodbear.ca.
Please Seek Expert Advice: The Children’s Hospital Foundation of Manitoba recommends strongly that you seek professional advice to ensure your financial goals are considered, your tax situation is reviewed and your planned gift is tailored to your circumstances.