AMT & Donations
Changes to the Alternative Minimum Tax (AMT) rates and rules are scheduled to take effect on January 1, 2024. For the first time AMT will apply to charitable donations from high-income individuals, which is worrying for charities and donors. Simply, targeting donations is poor tax policy that will produce unintended community harm.
Endowment Variations
COVID-19 has hit the charitable sector hard, and arts organizations face particular challenges. A recent article in The Globe and Mail about the Banff Centre described closed facilities, lost fundraising, cancelled programs, layoffs, deficits, resignations, and protests…
Estate Donations: Six Years Later
The 2016 introduction of the Graduated Rate Estate (GRE) regime was accompanied by the “estate donations” rules. How are charities and executors managing with these rules six and a half years later?
Are Charities Second-Class Beneficiaries?
Charities face a bizarre challenge when administering gifts by will. It should be simple. After the donor’s death, a charity named as a recipient of an estate donation becomes the beneficiary of a trust. The money is owed to the charity and the interest in the trust is legally enforceable. Charities, however, are often considered to be second-class beneficiaries.