A Tax-Efficient Way to Give

When you sell publicly traded securities privately, you are taxed on 50% of the capital gains. However, if you give the securities directly to charity as a gift-in-kind, you pay no tax on the capital gains and receive a donation tax receipt for their full market value. This means that giving securities — shares, bonds, or mutual funds — which have appreciated in value is a much more tax-efficient way to give than selling the securities and donating the cash. If you are making a bequest, include directions to use any appreciated securities in your estate to make the gift to save taxes and preserve capital for your other beneficiaries.

The Presbyterian Church in Canada will receive gifts of securities for any PCC congregation or ministry. Check out the Resource section below to find a detailed one-page information sheet (with an example showing how it can cost less to give more), a bulletin insert (to introduce the idea of giving securities to your congregation), and donation forms (for individuals or estates).

Planned Giving

Frequently Asked Questions

The Presbyterian Church in Canada will receive gifts of securities for any PCC congregation or ministry. So, if your congregation doesn’t have its own stockbroker, you can donate through the PCC’s stockbroker.

At your direction, your broker will electronically transfer your securities to the PCC brokerage. The PCC’s broker then sells the stock very soon after receiving the transfer. Based on the fair market value of the stock on the day it was donated, the PCC issues you a charitable tax receipt. The PCC then directs the proceeds of the sale (reflecting any change in value from date of sale minus the broker fees) to whatever PCC congregation, program, or ministry you wish.

It is the policy of the church to sell the securities as soon as possible. The proceeds from the sale (less any stock broker fees) are then immediately directed to the ministries you want to support (your home congregation, PWS&D, a church camp, Presbyterians Sharing). The PCC does not charge any fees for offering this service and tax receipts are sent shortly after the securities are processed.

Giving securities can take time. While the process of donating securities can take as little as 2 weeks from receiving the transfer until the congregation or ministry receives the funds, it can take as long as 4-7 weeks, as some securities take longer to process. Some brokerages may also take awhile to transfer securities, so be sure to check with yours before sending.

Year-end Gifts. To receive a tax receipt of the current year, the securities must be in the PCC stock account on or before Dec 31 of the same year. However, if you are giving to a congregation or external ministry (Evangel Hall, ARISE, a ministry with Indigenous people) and you want them to receive your gift before Dec 31, the securities should be in the PCC stock account by Dec 1 or the congregation or ministry may receive the funds in January.

This is a more complicated process than the electronic transfer of securities. You need to send the actual stock or bond certificate/s to The Presbyterian Church in Canada with a signed Power of Attorney form, along with a copy of your driver’s license or birth certificate. If you hold more than one stock certificate, a signed Power of Attorney has to accompany each stock certificate (we advise you to use registered mail or courier to track your documents). The PCC will then send to the stockbroker with the appropriate paperwork to cash the securities. The tax receipt will be based on the market value of the securities on the day the paperwork is signed giving PCC ownership of the securities.

No. It is the policy of The Presbyterian Church in Canada to sell securities as soon as they are in the hands of our stockbroker. This policy facilitates the transfer of the proceeds of the sale of the securities into the hands of your chosen beneficiaries as quickly as possible.

The tax receipt is based on the market value of your securities on the day they are received by the church. Because the securities are sold on a later day than the date of receipt, they may fluctuate in value. Sometimes the sale price may be higher; sometimes the sale price may be lower. There is also a brokerage fee for selling the securities that is subtracted from the total sales price.

Yes, you can identify various ministries including your congregation, but the beneficiaries must be ministries within The Presbyterian Church in Canada.

“And God is able to bless you abundantly, so that in all things at all times, having all that you need, you will abound in every good work.”

 2nd Corinthians 9:8

Resources

Gifts of

Securities:

Donation Form

This form is for gifts of publicly traded securities.

Download and complete this printable form and forward copies to your broker, who will initiate the transfer.

Gifts of

Securities:

Estate Donation

This form is for estate gifts of publicly traded securities. Download and complete this form and forward copies to your broker, who will initiate the transfer and to the PCC to issue the receipt and ensure proper designation of the gift.

Gifts of

Securities:

ONLINE

Donation Form

This online form is for gifts of publicly traded securities from individuals or estates. Upon submission of the form, a copy will be sent to you by email for your records and to the PCC to ensure proper designation of the gift and to issue the tax receipt. You must forward your copy (by email/fax/mail) to your broker, who will initiate the transfer.

Bulletin

Insert:

Publicly

Traded

Securities

This colourful bulletin insert introduces the concept of Gifts of Securities to your congregation, with an example of the tax savings.

Order inserts for your congregation.

Gifts of

Securities

One-Sheet

Gifts of Securities

This one-page information sheet describes the benefits of Gifts of Securities and how to transfer publicly traded securities to support any PCC congregation or ministry. It includes a detailed example of giving securities as a gift-in-kind and instructions for making the gift.

Webinar: Where There’s a Will There’s a Way to Give.

Did you know half of Canadians can’t make a legacy gift because they don’t have a will? This webinar shows you how to prepare to to make a planned gift.

For More Information

The Stewardship and Planned Giving staff are available to help you turn your philanthropic wishes into reality. To learn how a gift of Publicly Traded Securities or other planned gift can leave a lasting legacy, please contact us

  by email

  or call the Stewardship & Planned Giving department, 1-800-619-7301.

  or mail to: The Presbyterian Church in Canada, 50 Wynford Drive, Toronto, Ontario M3C 1J7.

Charitable Registration No. 10785 6619 RR0001

The information on this page does not constitute legal or professional advice and should not be substituted for appropriate professional advice. The Presbyterian Church in Canada strongly recommends that you seek professional legal and financial advice to ensure your financial situation and those of your dependents are considered; that your tax situation is reviewed; and that your legacy gift is tailored to your circumstances.