United Way of Calgary and Area is thrilled to share some exciting news that directly impacts the positive influence of your donations. The charitable giving landscape in Alberta has recently undergone significant changes, and your generosity is at the forefront of these transformative shifts. Discover how your contributions can not only create a better tomorrow for Calgarians who need it the most, but also maximize your tax savings at the end of the year.

Understanding the New Tax Credit Rates

Alberta has substantially increased the donation tax-credit rate, specifically targeting the first $200 of your donation, raising the rate to an impressive 60 per cent. This bold move aims to encourage more Albertans to contribute to registered charities.

Combine this new provincial donation credit rate with the existing 15 per cent federal tax credit, and you will receive a remarkable 75 per cent tax credit on the first $200 of eligible donations. This marks a substantial increase from the combined 25 per cent tax credit available last year, showcasing the province’s commitment to supporting charitable initiatives. This is a significant win for a gift of any size.

The Impact on Your Taxable Income

The recent changes position Alberta as the province with the highest tax-credit rate for donations below the $200 threshold. While most other provinces offer a tax credit rate equal to their lowest income tax bracket, Alberta has set itself apart with this remarkable initiative.

Alberta now stands as the only province where the tax-credit rate for the first $200 of donations is higher than the rate on contributions above that amount.

For an annual taxable income of less than $246,752:

  • The first $200 of all your charitable giving entitles you to a tax credit of 25 per cent (10 per cent provincial tax credit and 15 per cent federal tax credit).
  • You are entitled to a tax credit of 50 per cent for all charitable gifts exceeding the initial $200 (21 per cent provincial tax credit and 29 per cent federal tax credit).
  • If your annual taxable income is more than $246,752, you may be eligible for further tax credits. Please contact a financial advisor for more information.

Every Gift Matters and Can Make a Difference

This tax incentive comes at an incredible time, as the need for charitable donations is more important than ever.

The current affordability crisis is pushing more and more Calgarians into poverty. Approximately one in 10 Calgarians are currently living in poverty, with one in three struggling to afford basic needs like rent, utilities, or groceries.

Your donations to the Community Impact Fund, both big and small, play a crucial role in shaping a brighter future for our communities. With these enhanced tax incentives, your impact is amplified, providing more support to the causes close to your heart.

Don’t miss the tax deadline on December 31 – give today! Because a better tomorrow starts with you.

Donate now