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3/26/2014 9:43:43 PM
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Which charity would it go to? There's literally thousands in the US alone.
I'm not sure if it works this way in the US, but I can designate a portion of my wages to be automatically donated to a charity of my choice by my employer. The total donations show up on my T4 slip, and I can claim them as a donation tax credit on my return.
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Wait hold on, you ca designate a portion of your wages? So on top of the tax you have to pay, you can then say if the government can take some more of your money to give to charity? Or are you saying that the government forces you to pay a certain amount, and from that certain amount, you can force the government to give some of it to charity?
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Edited by CND AAA Beef: 3/26/2014 10:35:56 PMNo, this is completely voluntary. I walk into the payroll department. I tell Jim to take 2% off of my biweekly paycheque and have it wired to say, the Salvation Army. Every time I get my pay stub, that will show up on it alongside the CPP/EI and income tax deductions. Come February, Jim does up my T4. He puts on my gross earnings, CPP/EI and income tax deductions, and my charitable donations. I get the slip and in April, I put all of that on my income tax return. The donations count towards the donation tax credit. You can do the same sort of thing with pensions. I can have payroll send a portion to my RRSP and that will count on my RRSP contribution deduction. The gov't has nothing to do with this until I file my return in April. (Note: Your employer may or may not be able to do this, depending on how good their payroll department is. If you're working for a fairly big company, they probably do this all the time, but if you're working at a corner store, the guy probably doesn't have the expertise to do this.)
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That's cool
