Q & A

To establish a donor-advised fund, you can donate either cash or non-cash assets (securities and mutual funds, RRSP’s and RRIF’s, life insurance proceeds, bequests, other capital holdings) to CNCF. Additional contributions can be made at any time.

Donors most often choose the option to have their own financial advisor manage the money in their donor-advised fund on CNCF’s behalf, recommending a minimum balance of $50,000. When donors desire to hold their donation for a time before distributing it to charities of their choice, the investment is held in a professionally managed portfolio of bonds, stocks and cash. When a donor has indicated that they would like their fund distributed to charities in a shorter timeframe, the fund may be held in interest earning savings accounts.

CNCF also has a pool of managed investments for those who prefer not to recommend their own investment manager.

CNCF will acknowledge the gift immediately and issue official donation receipts after year-end unless required sooner.

The original contribution to CNCF is eligible for an official donation receipt.   There are no further official tax forms for distributions from your fund. If you receive one in error from the charity you recommended a grant to, it cannot be used.  

Yes, gifts of publicly-traded securities (stocks, income trust units, bonds, and mutual fund units) may be exempt from capital gains tax when transferred in-kind to a registered charity. This is one of the most tax effective ways to make a charitable donation.

Some reasons might be:

• CNCF can receive many types of gifts and asset transfers other than cash, while many charities are not equipped to do so.
• You will receive one donation receipt – keeping things simple.
• Through one gift or asset transfer, CNCF can grant gifts to many charities under your recommendation.
• Gifts can be made to charities without disclosing your name.

CNCF and its board of directors will accept distribution recommendations that further the work of and are consistent with CNCF charitable purposes, and are made to qualified donees as defined in the Income Tax Act (Canada).

CNCF and its Board of Directors will not accept distribution recommendations that contravene Biblical direction, would directly or indirectly benefit the client or his/her immediate family or any other person who has contributed to the Fund, as defined by the Income Tax Act, and does not meet the minimum distribution requirement of $250.

You can set up a CNCF Giving Fund as a part of your estate planning and fund it at your death. Providing a donation at the end of one’s life, after all financial commitments have been met, is a wise choice for many individuals. These deferred gifts provide a lasting legacy for the charitable causes most dear to your heart.

Options for giving might include leaving a bequest in your will, making CNCF the owner or beneficiary of your life insurance policy or RRSP/RRIF. CNCF will work with you to create a giving plan that best suits your personal circumstance and tax situation.