Ways to Give

Gifts of Capital Property

Making a gift of publicly listed securities and mutual funds directly to Southlake Regional Health Centre Foundation offers special tax benefits.

When publicly traded securities (such as stocks, bonds, or mutual funds) are donated directly to Southlake Foundation the donor does not pay tax on the capital gain. By contrast, if a donor were to sell the same appreciated shares and then donate the cash to Southlake, 50% of the capital gain would be taxable.

Example of potential tax savings with a gift of appreciated securities

“Mrs. Donor” wants to make a donation to Southlake. She is also interested in reducing the amount of capital gains tax payable on some publicly listed appreciated securities that she owns. She purchased the securities for $2,000. The securities are now worth $12,000. The capital gain is $10,000.

Assuming that “Mrs. Donor” has made other charitable donations of at least $200 and that her combined federal and provincial tax rate is 50%, this example illustrates why it is advantageous for “Mrs. Donor” to donate her shares directly to Southlake rather than selling them and then making a cash donation with the proceeds of the sale.

Benefits of making gifts of stock and securities

• You have the satisfaction of seeing your gift go to work right away supporting healthcare in your community.
• You enjoy immediate tax credits while eliminating the capital gains tax you would otherwise pay.

How gifts of stock and securities benefit Southlake

• Your securities will be made liquid and your gift can be put to use immediately - helping the hospital in its mission of caring for people and making their lives better.

How to gift securities

• Securities can be electronically transferred,
• Transferred in hard copy in the donor's name provided Southlake Foundation is given the power of attorney, or
• Re-registered in Southlake’s name.

In all cases, the charitable donation receipt will reflect the average value of the shares on the day of transfer.

For more information or to make a donation of securities to Southlake today, please contact Southlake Foundation at 905-836-7333 or 1-877-457-2036 or foundation@southlakeregional.org.

 The information provided is general in nature and is not intended to be a substitute for professional legal or financial advice. Southlake Regional Health Centre Foundation encourages donors to seek independent legal and/or financial planning advice.

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