Donations as a way to rip off taxpayers

[gbk]

Here is my thought:

Any donation(not talking small $-but BIG $)cost actually us ,taxpayers a whole bunch, and we are not even asked !

Scenario-a person donates 1,000,000 $ to a "cause'. The cause is more" political" yet it is allowed to be done,so it is not a real help to the needy.

The donator gets HUGE morale credit for it( think influence too )likely will get HUGE PR credits,and free advertisement too.
Then the donator writes off the donation ,at the end of the year.

Since the donator makes a LOT of money to be able to donate 1 mil-lets say,there is 500,000 $ back to his/her pocket AFTER taxation(by means of not paying taxes on the 1 mil revenue he/she made).

Here is the catch-since that person earned the 1 mil,then donated the 1 mil-got back 0.5 mil=there is 500,000 $ missing from the Revenue ,for the Government!

The Governement has to fill the needs due of budgeted expenses for the year!

So-indirectly,the 1 mil $ donation(again-to BS cause)will actually cost us, since us the taxpayers have to make up for the lost 0.5 mil portion.

The donator is out for 0.5 mil-but benefits hugely(to a cause not even being in the best interest of the taxpayers),yet we are on the hook for the other 0.5 mil

Thoughts?

[mosquito]

Nonsense, the reality is that unlike gov't tax money most donations do some good far above the actual amount... money in the governments hand is wasted and studies have shown $1 has as little as $0.25 benefits where $1 to a charity or cause often allows them to provide $1.50 or more in benefits due to the volunteers and efforts of the people involved. Imagine if the gov't ran the local food banks or places like Covenant House or Scott's mission they likely wouldn't exist for one, would cost 5X or probably much more if they did and would be manned by civil servants who maybe half didn't give a sh**. That and the ones donating ARE taxpayers, so in reality a proponent of that idea is clueless of it being nothing but nonsense or b.s. out of some Liberal or Communist worshipper of big gov't and dictatorships.

[gbk]

Nonsense, the reality is that unlike gov't tax money most donations do some good far above the actual amount... money in the governments hand is wasted and studies have shown $1 has as little as $0.25 benefits where $1 to a charity or cause often allows them to provide $1.50 or more in benefits due to the volunteers and efforts of the people involved. Imagine if the gov't ran the local food banks or places like Covenant House or Scott's mission they likely wouldn't exist for one, would cost 5X or probably much more if they did and would be manned by civil servants who maybe half didn't give a sh**. That and the ones donating ARE taxpayers, so in reality a proponent of that idea is clueless of it being nothing but nonsense or b.s. out of some Liberal or Communist worshipper of big gov't and dictatorships.

Whoa-read the post before going too far with the nonsense reply.
I was talking donations not charity.

[Species8472]

I was talking donations not charity.

Generally donations are only made to charities that have CRA charitable status (and in recent years CRA is pretty particular about who gets and can maintain this status - shady organizations are not nearly as common as they used to be). If a donation is made to a non-charitable status organization there is zero tax benefit for the person making the donation - i.e. it has no affect on the tax they are required to pay. The other thing to know is that charity donations are not typically tax write offs - they provide tax credits. There is a big difference. A write off allows you to reduce your taxable income and has the potential to move you into a lower tax bracket (think RRSPs). A tax credit is calculated as a fixed % of the donation and applied against any tax you owe on whatever bracket you happen to be in. That rate used to be 15% on the first $200 and 29% on the remaining amount (not sure if it is still at these rates but either way this is lower than whatever tax bracket you will be in) and is independent of your tax bracket. Additionally i think there is a cap on the amount that can be used for tax credit calculation at something like 75% of your net income - this prevents someone from reducing their tax owed to zero through the use of charitable donations.

Not sure if the rules are the same for corporate or other entities as compared to an idividual

[mosquito]

Whoa-read the post before going too far with the nonsense reply.
I was talking donations not charity.

Well who are the donation too then?

The idea that the government is entitled to more money from Canadian taxpayers IS nonsense, Canadians are paying far more in taxes than the necessities and to say that the government should get more, especially with the irresponsible idiots running it now is beyond nonsense when you look at the realities. Even with all that they couldn't keep their promises from 2015 to 2019 and in 2020 they almost doubled the Federal debt (or maybe they did since they won't do a budget)... guess they don't balance themselves magically.

The smaller the government and the taxes the more benefit to Canadians there are by far on all levels especially in view of the level of taxation and below quote was before the carbon taxes were added and increased! I think it was Harper quoting someone that said and I paraphrase the wording that a dollar in an individual (and more so a charities) pocket can be increased and grow to become gold, a dollar in the government's pocket accomplishes much less and economically is stagnant and turns to rust.


In total, the average Canadian family spends 44.2% of its income exclusively on taxes, while their basic necessities — food, shelter, clothing, amenities, etc. — cost 36.3%.

“In 2018,” the Fraser Institute explains, “the average Canadian family earned an income of $88,865 and paid total taxes equaling $39,299 (44.2%).”

[gbk]

Generally donations are only made to charities that have CRA charitable status (and in recent years CRA is pretty particular about who gets and can maintain this status - shady organizations are not nearly as common as they used to be). If a donation is made to a non-charitable status organization there is zero tax benefit for the person making the donation - i.e. it has no affect on the tax they are required to pay. The other thing to know is that charity donations are not typically tax write offs - they provide tax credits. There is a big difference. A write off allows you to reduce your taxable income and has the potential to move you into a lower tax bracket (think RRSPs). A tax credit is calculated as a fixed % of the donation and applied against any tax you owe on whatever bracket you happen to be in. That rate used to be 15% on the first $200 and 29% on the remaining amount (not sure if it is still at these rates but either way this is lower than whatever tax bracket you will be in) and is independent of your tax bracket. Additionally i think there is a cap on the amount that can be used for tax credit calculation at something like 75% of your net income - this prevents someone from reducing their tax owed to zero through the use of charitable donations.

Not sure if the rules are the same for corporate or other entities as compared to an idividual

Thanx Species-answer fitting to the Forum. There may be things i did not see clearly,explanation is helpful.
Appreciate it.

[gbk]

Well who are the donation too then?

The idea that the government is entitled to more money from Canadian taxpayers IS nonsense, Canadians are paying far more in taxes than the necessities and to say that the government should get more, especially with the irresponsible idiots running it now is beyond nonsense when you look at the realities. Even with all that they couldn't keep their promises from 2015 to 2019 and in 2020 they almost doubled the Federal debt (or maybe they did since they won't do a budget)... guess they don't balance themselves magically.

The smaller the government and the taxes the more benefit to Canadians there are by far on all levels especially in view of the level of taxation and below quote was before the carbon taxes were added and increased! I think it was Harper quoting someone that said and I paraphrase the wording that a dollar in an individual (and more so a charities) pocket can be increased and grow to become gold, a dollar in the government's pocket accomplishes much less and economically is stagnant and turns to rust.


In total, the average Canadian family spends 44.2% of its income exclusively on taxes, while their basic necessities — food, shelter, clothing, amenities, etc. — cost 36.3%.

“In 2018,” the Fraser Institute explains, “the average Canadian family earned an income of $88,865 and paid total taxes equaling $39,299 (44.2%).”

Mosquito-read the original post-do not read INTO it............

[mosquito]

Mosquito-read the original post-do not read INTO it............

OK...

Nonsense, The ones donating ARE taxpayers, so in reality a proponent of that idea is clueless of it being nothing but nonsense or b.s. out of some Liberal or Communist worshipper of big gov't and dictatorships.

The idea that the government is entitled to more money from Canadian taxpayers IS nonsense, Canadians are paying far more in taxes than the necessities and to say that the government should get more, especially with the irresponsible idiots running it now is beyond nonsense when you look at the realities. Even with all that they couldn't keep their promises from 2015 to 2019 and in 2020 they almost doubled the Federal debt (or maybe they did since they won't do a budget)... guess they don't balance themselves magically.

The smaller the government and the taxes the more benefit to Canadians there are by far on all levels especially in view of the level of taxation and below quote was before the carbon taxes were added and increased! I think it was Harper quoting someone that said and I paraphrase the wording that a dollar in an individual (and more so a charities) pocket can be increased and grow to become gold, a dollar in the government's pocket accomplishes much less and economically is stagnant and turns to rust.


In total, the average Canadian family spends 44.2% of its income exclusively on taxes, while their basic necessities — food, shelter, clothing, amenities, etc. — cost 36.3%.

“In 2018,” the Fraser Institute explains, “the average Canadian family earned an income of $88,865 and paid total taxes equaling $39,299 (44.2%).”

Your selective use of logic or lack there of it seems you either don't understand your own question and it's implications OR you don't like the reality that the government is already screwing Canadians and any way to put money to a good use instead of say funding CBC or the PM's vacations (the PM's vacation for 2019 was just reported at almost $200,000) etc. then the money is put to a much better use outside the government. Your percentages are also sh** and irrelevant to actual tax returns when you look, you ignore who the donations are to and their purpose and you seem in favour of government control and big government with more and more for them and less for the actual taxpayers. If I am wrong can you either explain it in a way that shows what your questions is like '' is the government entitled to more of our money and complete control?" or "Is the Communist absolute control the right way to go?" or some other way where what you are asking is clear then I will consider answering, otherwise...

The concept is still Liberal thru Communist nonsense.

[gbk]

OK...








Your selective use of logic or lack there of it seems you either don't understand your own question and it's implications OR you don't like the reality that the government is already screwing Canadians and any way to put money to a good use instead of say funding CBC or the PM's vacations (the PM's vacation for 2019 was just reported at almost $200,000) etc. then the money is put to a much better use outside the government. Your percentages are also sh** and irrelevant to actual tax returns when you look, you ignore who the donations are to and their purpose and you seem in favour of government control and big government with more and more for them and less for the actual taxpayers. If I am wrong can you either explain it in a way that shows what your questions is like '' is the government entitled to more of our money and complete control?" or "Is the Communist absolute control the right way to go?" or some other way where what you are asking is clear then I will consider answering, otherwise...

Dont bother my friend wasting my time anymore-your reply is an archetype of feedbacks this forum is dying from.

Just read your replies-after reading mine. Then You realize that the ante communist and anti government fog makes you see -Nothing.
Then makes you spend huge time on empty rant and missing the target -for a mile.
Just so you can sleep better- i am not sure where you are taking from that my post supports the government-takes from the poor and supports liberals and-God forbidden-is communist? None of them jumps from my text.

The fog........

And-just so you know,i came from a former communist country-which gave me some experience to know them.Be assured-never had/have any sympathy for them,
Perhaps contrary to you-who hates them because of Hollywood-Newspapers-Books and hearsay.

Sleep well

[fishfood]

I see nothing wrong with mosq post same with species

In the governments hands it will be more wasteful and useless to us. It always cost the government more to get things done just like our insurance company's .what would cost us 500 thousand now cost the government 700 thousand or more. When people work for the government it lines their own pockets and steals from the poorest paying the takes.

Just like our insurance company they get screwed every Day and because of it the insurance company paying they will pay more . So now we have to pay more .

It's more like what was said every dollar they have in worth way less in the government hands. So in theory your donation is working more saving tax payers money lol.


Government get screwed all the time paying more it's very wasteful if you ask me.


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