Special Federal Tax Assistance for Charitable Donations of Publicly Traded Securities: A Tax Expenditure Analysis

Authors

David G. Duff, Allard School of Law at the University of British ColumbiaFollow

Faculty Author Type

Current Faculty [David Duff]

Published In

Canadian Tax Journal

Document Type

Article

Publication Date

2003

Subjects

charitable donations; tax expenditures; tax incentives; securities; capital gains

Abstract

This comment questions both the justification offered in the Department of Finance study and tax assistance for charitable giving in the form of a reduced capital gains inclusion rate on gifts of publicly traded securities. The article begins by presenting the most persuasive rationale for special tax treatment of charitable contributions under the income tax and the implications of this justification for the design of an appropriate tax incentive. In light of this analysis, the article turns to the reduced capital gains inclusion rate on gifts of publicly traded securities and the justification offered in the Department of Finance study. A final section offers more general conclusions.

Citation Details

David G Duff, "Special Federal Tax Assistance for Charitable Donations of Publicly Traded Securities: A Tax Expenditure Analysis" (2003) 51:2 Can Tax J 925.