Donation/Charitable tax receipt question

[scrapbookingoasis]

If I were to redeem my shoppers optimum points to pay for a big ticket item to donate to a fundraiser auction - could I get a tax receipt for the value of the item?? ie $250 item - redeem $250 points (pay out of pocket the tax) and get a receipt for $250+tax???

TIA

[scrapbookingoasis]

anyone?

[sweet sparrow]

I think it depends on the charity but it's not very common. Issuing a tax receipt for the value is more common in the US.

[scrapbookingoasis]

thanks

[mukluk]

You should be able to get a tax receipt for the fair market value of the donated item before tax. Sales tax is not eligible for inclusion in the calculation.

There is a great publication available from Canada Revenue Agency that outlines all the rules surrounding gifts-in-kind (non-cash stuff). This should answer all of your questions. http://www.cra-arc.gc.ca/E/pub/tp/it297r2/README.html

[lekate]

If not just give someone at the CRA a call, I'm the number is on the link above.

[scrapbookingoasis]

thanks - after seeing the post of this weekends flyer I may be better off to buy something on 20x and just use the $250 redemption for personal needs etc