With the tabling of the 2013 Federal Budget yesterday, the federal government announced the introduction of a temporary “First-time Donor’s Super Credit”. This new super credit is intended to supplement the charitable donation tax credit already available to individual donors by providing an additional 25% tax credit for a first-time donor on donations up to $1000. When combined with the charitable donation tax credit, the availability of the new super credit means a first time donor will be entitled to a 40% federal tax credit with respect to donations up to $200 and a 54% federal tax credit on donations in excess of the $200 threshold. The federal government has proposed to make the super credit available in respect of donations made on or after March 21, 2013 and before 2018.
For more information on the new super credit, please refer to the 2013 Federal Budget, available online at: http://www.budget.gc.ca/2013/home-accueil-eng.html.