New Super Credit: A great opportunity for first-time donors
Thinking about making a donation to Baycrest? The federal government’s Budget 2013 established a First-Time Donor’s Super Credit to encourage charitable donations from first-time donors or those who have not claimed a charitable donation on their taxes in the last five years.
It’s a great opportunity for anyone making their first charitable gift!
Here’s how it works. Charitable donations are eligible for tax credits, meaning you get a certain portion of your donations back on your tax return. The standard federal tax credit for a donation is 15% for the first $200 donated and 29% for donations above that level. The Super Credit increases these federal tax credits by 25%.
If neither you nor your spouse has claimed a donation tax credit in any year since and including 2008, you will now be eligible for tax credits as follows:
Donations up to and including $200: 40% tax credit
Donations between $201 and $1,000: 54% tax credit
Click here for a super tax credit calculator to help you further understand this credit.