Appraisal

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 (that is, 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

• Summary Policy CSP-F02, Fair Market Value
• Summary Policy CSP-G01, Gift
• Pamphlet P113, Gifts and Income Tax
• Interpretation Bulletin IT-297, Gifts in Kind to Charity and Others
• Income Tax Regulations, C.R.C. 1978, c. 945, ss. 3501(1) and (1.1).

Date modified:

2003-10-31