I am so excited and passionate to be leading the Wonder Women of Wealth for the 4^th consecutive year in the annual CIBC Run for the Cure on 1 October 2023.

 

While our top priority is to raise funds for breast cancer research, our second objective is to highlight the power of women and what we can accomplish together.

 

In September of 2020, seven women advisors, including myself, formed the Wonder Women of Wealth and raised over $65,000 in less than a month. Since then, we have expanded our team and raised the largest amount of money from an individual team.

 

We aim to highlight what women can do when we set our minds to such an important cause, which is raising $1 million for breast cancer research. Never has any single group raised $1 million for Run for the Cure and we want to be the first.

Throughout this fundraising, the concept of Gifts of Securities has been top of mind for our team and we have been actively working to ensure that donations can be seamlessly made to the WWoW in this capacity.

 

Because of this, we felt it was timely to discuss the benefits of gifting publicly traded securities to charitable initiatives that are important to you.

 

The two main benefits are: capital gains tax savings, and the donation tax credit. To encourage donations of securities to registered Canadian charities, the government eliminates the capital gains tax that Canadians are required to pay on dispositions of securities that have appreciated in value and offers a varying tax credit based on the province you live in¹.

 

To illustrate these benefits, we share an example from Ontario, created by Jamie Golombek, Managing Director, Tax and Estate Planning, and Kate Lazier, Director of Philanthropy and Legacy Planning, of CIBC Private Wealth.

 

The below chart depicts the difference in tax savings from a cash donation vs. a Gift of Securities (in-kind) donation.

 

In this example, the donor has securities worth $100,000 that have an adjusted cost base of $20,000. The donor is in the top tax bracket in Ontario, with a marginal tax rate of 53.53% and a donation tax credit rate of 50.4%.

 

Source: The tax incentive to gift securities

 

 

As outlined above, by donating securities as opposed to cash, the donor saved $21,412, and just over 50% of the donation was therefore “covered” by the net tax benefit.

 

It is also worth noting that if these securities had depreciated in value, while the donor would not be saving on capital gains tax, they would still have the benefit of claiming a capital loss, like routine dispositions of securities.

 

With your generous support, money raised from the Run will go towards breast cancer research and provide support for women diagnosed with breast cancer and their families.

 

I appreciate your help in empowering women and making a difference amongst all Canadians!

 

https://support.cancer.ca/site/TR/RunfortheCure/RFTC_NW_even_?px=14300914&pg=personal&fr_id=29217