Real Estate

Real estate and land are often major components of one's estate, making this type of donation a serious consideration when creating a will.

While there are many facets to making a gift of real estate, we will work with you and your advisors to ensure your gift reflects your goals and values. Support the U of A while avoiding capital gains tax on the sale of the property and — depending on the type of gift — provide you or your loved ones with an income stream.

You will receive a charitable tax receipt for the full fair market value of the property. If gifted during your lifetime, the tax credits can be claimed in the year of the donation or can be carried forward to offset tax during the subsequent five years. If the property is your principal residence, you will avoid being taxed on any capital gains. Gifting real estate is an opportunity to help transform the future of students, research or an area you're most passionate about — while realizing valuable tax benefits.

Benefits of making a gift of real estate

• Make a lasting gift to the U of A
• Donate all or part of your real estate as an immediate gift or through your will
• You choose what your gift supports 

How it Works

A supporter gives real estate valued at $1 million to the U of A:

1. Donor receives a tax receipt for $1 million.
2. Donor receives a tax credit of $500,000. *
3. The credit can reduce up to 75% of donor's taxable income (100% in year of death).
4. If the donation is the donor's principal residence or ecologically sensitive land, there is no tax payable on the capital gain.
5. For gifts of real estate that are not the donor's principal residence, 50% of the capital gain is taxed. However, the tax credit will likely exceed the tax on the capital gain tax, resulting in a net tax saving.

* Tax credit depends on donor's income and specific circumstances

Contact us today:

Call 780.492.7400 or 1.888.799.9899 | Email giving@ualberta.ca