Schedule 11A - Donations and gifts
tax credit calculation
Use Schedule 11A to calculate the total donations and gifts tax credit.
Testamentary trust
Estate donations - for deaths that occur after 2015
For deaths that occur after 2015, donations made by will and designation donations are no longer deemed to be made by an individual immediately before the individual's death. Instead, these donations are deemed to be made by the individual's estate and where certain conditions are met, these donations are deemed to be made by the individual's graduated rate estate (GRE). See GRE donations on this page.
An estate can claim the donations and gifts tax credit in respect of a donation that is not a GRE donation or former GRE donation in the year in which the donation is made or in any of the five following years (or ten years for a gift of ecologically sensitive land made after February 14, 2014). However, the donation cannot be allocated to a tax year of the individual or an earlier year of the estate.
For more information about estate donations for deaths that occur after 2015, go to canada.ca/estate-donations -death-after-2015.
GRE donations
GRE donations are donations by a GRE to a qualified donee. The donated property must be property that was acquired by the estate on and as a consequence of the death (or property that was substituted for such property). GRE donations also include designation donations.
You can allocate a GRE donation among any of:
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the tax year of the GRE in which the donation is made
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an earlier tax year of the GRE
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the last two tax years of the deceased individual (the final return and the return for the preceding year)
In addition, for 2016 and subsequent tax years, a gift made after the 36 month period but within 60 months after the date of death by a former GRE that continues to meet all of the requirements of a GRE except for the 36 month time limit, can be allocated among any of:
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the tax year of the estate in which the donation is made
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an earlier tax year of the estate, if the estate is a GRE in that preceding year
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the last two tax years of the deceased individual (the final return and the return for the preceding year)
For more information about estate donations by former GREs, go to canada.ca/cra-donations-graduated-rate -estates.
If the donation is not a one-time payment (for example, a donation that will continue to be made according to the terms of the will), treat the recipient as an income beneficiary and deduct the donation as an allocation of trust income on line 47 of the T3 return. You also have to include the donation on the appropriate line of Schedule 9.
Estate Donations - for deaths that occur before 2016
For deaths that occur before 2016, donations made by will and designation donations are deemed to have been made by the deceased individual immediately before death. If the donation is a one-time payment provided for in the deceased person's will, do not claim it on the T3 return. Claim the donation on the deceased person's T1 return, either in the year of death or in the year before the year of death, or claim part of the donation on each return.
If the will provides that a donation can be made at the discretion of the trustee, you can do the following:
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choose to treat the recipient as an income beneficiary and deduct the amount on line 47 of the return
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complete Schedule 11A and claim a donations and gifts tax credit on line 16 of Schedule 11
Inter vivos trust
If the recipient is an income beneficiary according to the terms of the trust agreement, deduct the donation on line 47 of the return, and include it on the appropriate line of Schedule 9.
Note
In limited situations, a distribution by an inter vivos trust to a
registered charity may instead qualify for a donations and gifts
tax credit on line 16 of Schedule 11; for example, where an alter
ego trust makes a distribution to a registered charity following
the death of the settlor of the trust, and the trustee had
discretion under the terms of the trust indenture to distribute the
property either to the qualified donee or to someone else.
If the trust donates an obligation of the trust or of a related person, a share issued by a corporation related to the trust, or any other security issued by a person related to the trust, call 1-800-959-8281.
A communal organization that made charitable donations can choose not to claim them and can elect to designate the donations to beneficiaries. For more information, see Information Circular IC78-5R, Communal Organizations.
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