I donated securities and I’ve received a T5008 tax slip from my financial institution.
Your donation of securities directly to a registered charity is exempt from paying capital gains, however your financial institution may have issued you a T5008. This form can be offset by completing a T1170 as part of your tax return. CRA clearly states that “If there is no advantage in respect of the gift, the full amount of the capital gain realized on the gift is eligible for an inclusion rate of zero. An inclusion rate of zero may be applied to any capital gain realized on the exchange of shares of the capital stock of a corporation for publicly listed securities that are then donated.”
Click here for the complete guide to the T5008.
For any specific questions regarding the completion of the T1170, please consult an accountant or the CRA directly at 1-800-959-8281.