Summary Policy

Date
September 3, 2003

Reference Number
CSP - F07

Key Words
Fair market value (appraisal)

Policy Statement

The fair market value of a gift in kind as of the date of the donation must be determined before an amount can be recorded on an official donation receipt.

If the fair market value of a gift is $1,000 or less, a qualified staff member of the registered charity receiving the gift can appraise the gift. If the fair market value is more than $1,000, the Charities Directorate strongly recommends that the property be appraised by someone who is not associated with either the donor or the charity receiving the gift (i.e., a third party). The person who determines the fair market value of the property must be competent and qualified to evaluate the particular property being transferred by way of a gift.

References

• Fair Market Value, CSP - F02.
• Gift (donation), CSP - G01.
• Receipt, CSP - R02.
• Fair Market Value (appraisal), CIL-1994-010.
• Gifts and Income Tax, P113.
• Gifts in Kind to Charity and Others, IT-297.
• Income Tax Regulations, C.R.C. 1978, c. 945, ss. 3501(1) and (1.1).