,canada ,cu/oms                       #a
& ,rev5ue ,ag5cy

          ,9t]pret,n ,bullet9
    
,subject3 ,9come ,tax ,act
  ,gifts 9 ,k9d 6,*>;y & ,o!rs
,numb]3 ,,it-#big;,r#b
,date3 ,m>* #ba1 #aiij
,ref];e3 ,subsec;ns #aah.a7#a7 &
  #aaj.a7#a7 7al sec;ns #i1 #ac & #ci1
  subsec;ns #aaj.f7#c7 & #aah.a7#c71 &
  subp>agraph #fi7#a77b77;ii77

               ,applic,n
    
  ,? bullet9 c.els & replaces ,9t]pret,n
,bullet9 ,,it-#big;,r dat$ ,febru>y #bj1
#aihd4 ,curr5t revi.ns >e designat$
0v]tical l9es4




                                      #a
                ,summ>y              a#a
    
  ,? bullet9 4cusses ! tax 3sequ;es (
mak+ a gift 9 k9d 6*>;y or o!rs &!
valu,n ( t gift4

          ,4cus.n & ,9t]pret,n
    
#a4 ,a gift 9cludes a gift 9 k9d4 ,!
  def9i;n (a gift1 ! deduct+ provi.ns
  applica# 6bo? 9dividuals & corpor,ns1
  &! require;ts = (ficial don,n receipts
  >e expla9$ 9 ! curr5t v].n ( ,,it-#aaj
  &! relat$ ,special ,rel1se4
#b4 ,! g5]al rule 9 #d 2l does n apply
  ": ! ,act provides special rules =
  gifts 9 k9d4 ,^! special rules >e
  4cuss$ 9 ! curr5t v].n (! foll[+
  ,9t]pret,n ,bullet9s3

  ,,it-#bdd--,gifts ( ,life ,9sur.e
    ,policies z ,*>ita# ,don,ns1
  ,,it-#bhh--,gifts ( ,capital ,prop]ty
    6a ,*>;y & ,o!rs1
                                      #b
             ,,it-#big;,r#b          b#a
  ,,it-#djg--,disposition ( ,canadian
    ,cultural ,prop]ty1 &
  ,,it-#ejd--,visual ,>ti/s & ,writ]s4
#c4 ,gifts 9 k9d (a taxpay] 9clude
  capital prop]ty1 deprecia# prop]ty1
  p]sonal-use prop]ty 9clud+ li/$
  p]sonal prop]ty 7see ! curr5t v].n (
  ,,it-#ccb71 a l1sehold 9t]e/1 a
  residual 9t]e/ 7see ! curr5t v].n (
  ,,it-#bbf71 a "r ( any k9d :at"e1 a
  lic;e1 a %>e1 a *ose 9 ac;n & 9v5tory
  (a busi;s4 ,a gift 9 k9d1 h["e1 does n
  9clude a gift ( s]vices4

  ,": ! prop]ty gift$ 0 held jo9tly 0a
  husb& & wife1 o!r ?an z "pn]s 9 a
  "pn]%ip1 :e!r ! gift 0 made 0! husb&1
  wife or bo? "pies1
--------------------------------------#b
  !y may *oose :i*"e alloc,n is mo/
  advantage\s 6!m =! purpose (a claim
  0ea* ( !m "u ! deduct+ provi.ns4 ,?
  4cre;n>y alloc,n applies z well
  6subsequ5t ye> claims 9 respect (   #c
             ,,it-#big;,r#b          a#b
  any unus$ por;n (! don,n4 ,s* don,n
  claims %d 2 adequately expla9$ ^u fil+
  (! applica# 9come tax returns1
  "picul>ly 9 ! case (! 9dividual :o
  uses a copy (! orig9al receipt
  6support ! claim4
#d4 ,g5],y1 :5 any?+ is 4pos$ ( 6any
  p]son 0way (a gift 9t] vivos1 !
  taxpay] 7donor7 is deem$ 6h rcvd
  proce$s ( 4posi;n equal 6! fair m>ket
  value (! prop]ty pursuant 6subp>agraph
  #fi7#a77b77;ii74 ,": ! prop]ty 0 held
  jo9tly 0a husb& & wife1 ! proce$s (
  4posi;n m/ 2 allocat$ 2t !m on ! basis
  (! relative 9t]e/ ea* sp\se held 9 !
  prop]ty reg>d.s (! 4cre;n>y alloc,n t
  may 2 made 9 respect ( _! claims "u !
  deduct+ provi.ns z describ$ 9 #c abv4
  ,ea* taxpay] m/ "!=e a3.t = any
  7a7 9come "u sec;n #i if ! prop]ty 0
    9v5tory (a busi;s1 or
  7b7 capital ga9 or capital loss "u
    sec;n #ci if ! prop]ty 0 a capital
    prop]ty1 &                        #d
             ,,it-#big;,r#b          b#b
  7c7 recapture ( capital co/ all[.e "u
    sec;n #ac if ! prop]ty 0 deprecia#
    prop]ty4 ,x %d 2 not$ t al? ! gifts
    9 k9d 4cuss$ 9 ! curr5t v].ns (
    ,,it-#bhh1 ,,it-#djg & ,,it-#ejd
    ref]r$ 6in #b abv1 >e subject
    6special rules =! det]m9,n1 if any1
    ( capital ga9s1 any recapture (
    capital co/ all[.e ) respect 6s*
    gifts ( deprecia# prop]ty is report$
    9 ! usual mann]4
  
  ,! fair m>ket value (a gift 9 k9d is
  al ! relevant am.t =! purposes (
  calculat+ ! non-refunda# & non-
  transf]a# f$]al tax cr$it "u subsec;n
  #aah.a7#c7 = 9dividuals af #aihg &!
  deducti# gift "u subsec;n #aaj.a7#a7 =
  corpor,ns af #aihg1 z well z !
  deducti# gift "u ! legisl,n z x appli$
  6all taxpay]s prior 6! #aihh tax,n
  ye>4
#e4 ,if ! taxpay] mak+ ! don,n is an
  9dividual 7o!r ?an a tru/7 &        #e
             ,,it-#big;,r#b          c#b
  r1lizes a capital ga91 ! provi.ns (
  subsec;n #aaj.f7#c7 may apply4 ,if !
  capital ga9s deduc;n has n be5 fully
  utiliz$1 ! 9dividual may 2 a# 6fully
  or "pi,y (fset ! capital ga9 ref]r$
  6abv )! subsec;n #aaj.f7#c7 deduc;n4
#f4 ,! fair m>ket value (a gift 9 k9d z
  (! date (! don,n 7! date on :
  b5eficial [n]%ip is transf]r$ f !
  donor 6! donee7 m/ 2 det]m9$ 2f an
  am.t c 2 record$ on a receipt = tax
  purposes4 ,if ! prop]ty 0 [n$ on
  ,valu,n ,"d 7,decemb] #ca1 #aiga71 a
  valu,n z ( t date may al 2 requir$ =
  capital ga9s purposes4 ,! p]son :o
  det]m9es ! fair m>ket value (! prop]ty
  m/ 2
--------------------------------------#c
  -pet5t & qualifi$ 6evaluate ! "picul>
  prop]ty 2+ transf]r$ 0way (a gift4
  ,prop]ty ( ll or only nom9al value 6!
  donor w n qualify z a gift 9 k9d4 ,us$
  clo?+ ( ll value wd 2 an example (a
  non-qualify+ 3tribu;n4              #f
             ,,it-#big;,r#b          a#c
#g4 ,gifts 6,h] ,maje/y 9 "r ( ,canada &
  ,h] ,maje/y 9 "r (! prov9ces 9clude
  gifts 6an ag5t (! ,cr[n4 ,:e!r a
  "picul> 5t;y is an ag5t (! ,cr[n 9 "r
  ( ,canada or a prov9ce dep5ds on :e!r
  ! law cr1t+ ! 5t;y 7a corpor,n1
  -mis.n1 gall]y1 etc47 expressly makes
  x an ag5t (! ,cr[n or ! 5t;y is an
  ag5t (! ,cr[n at -mon law4
#h4 ,sec;n #aah.a & subsec;n #aaj.a7#a7
  >e n applica# 6don,ns ( prop]ty ": xs
  co/ has be5 or %d 2 *>g$ z a busi;s
  exp5se4 ,= example1 if a taxpay]
  transf]s m]*&ise or supplies 6a *>;y 9
  3sid],n (a "r1 privilege1 mat]ial
  b5efit or advantage s* z promo;n or
  adv]tis+ =! taxpay]'s busi;s1 !n !
  transf] wd n 2 a gift4 ,= fur!r 9=m,n1
  see ! curr5t v].n ( ,,it-#aaj4
#i4 ,a pamphlet 5titl$ 8,gifts 9 ,k9d01
  availa# at ,4trict ,tax,n ,(fices1
  provides a g5]al 4cus.n ( ? topic4

                                      #g