SCHEDULE 9 : DONATIONS

Schedule 9, Donations and Gifts, calculates the federal charitable donation credit.

CALCULATION STEPS

1. Total eligible amount of gifts to qualified donees, including unclaimed donations from the previous five years and gifts from T4 box 46 and partnership slips.

2. Apply the limit: 75 percent of net income, plus 25 percent of taxable capital gains on donated property and recapture.

3. Add gifts of certified cultural property and ecologically sensitive land, which have no income limit.

4. Calculate the credit: 14 percent of the first $200 (2026), 33 percent on the portion of gifts over $200 to the extent taxable income exceeds $258,482, and 29 percent on the rest.

5. Transfer the result to line 34900 of Schedule 1.

GIFTS OF SECURITIES

Gifts of publicly traded securities, mutual fund units and ecologically sensitive land are reported on Form T1170, which reduces the capital gain to zero.

WORKED EXAMPLE (2026)

Donations of $1,200 by a person with taxable income under $258,482: 14% × $200 = $28, plus 29% × $1,000 = $290, for a federal credit of $318. The Ontario credit adds 5.05% × $200 + 11.16% × $1,000 = $122, so the total saving is about $440, or 37 percent of the gift.

CARRY-FORWARD

Donations not claimed in the year can be carried forward up to five years. Unused amounts are not shown on the Notice of Assessment, so records must be kept.