TP1 Schedule V (TPV)

Tax credit for charitable donations and other gifts (Part A)

You can claim a tax credit for charitable donations, gifts of cultural property, ecological gifts and gifts of musical instruments that you made in the year, as well as for any part of such donations made in the last five years that you have never used to calculate the tax credit. You can carry the unused part of the eligible amount of the donation forward five years from the year of the donation (10 years for ecological gifts made after February 10, 2014).

Donation of food products (line 5)

If, after March 26, 2015, you donated food products that you produced, the eligible amount of the donation can be increased by 50%, provided all of the following conditions were met at the time of the donation:

• You were a recognized agricultural producer.
• The donation was made to a registered charity that was a member of the Food Banks of Quebec network (either a Moisson member or, in the case of a donation made after March 17, 2016, an associate member).
• The donated food products were eligible agricultural products.

If, after March 17, 2016, you donated food products that you processed, the eligible amount of the donation can be increased by 50%, provided all of the following conditions were met at the time of the donation:

• You operated a food processing business.
• The donation was made to a registered charity that was a member of the Food Banks of Quebec network (either a Moisson member or an associate member).
• The donated food products were eligible food products.

Gift of a public work of art (lines 6 through 10 or 25 through 29)

If you made a charitable donation or a gift of cultural property to certain donees and the donated property was a public work of art, the eligible amount of the gift can be increased by 25% or 50%.

25% increase

The eligible amount of the gift can be increased by 25% if you hold a certificate confirming the fair market value of the public work of art (see Certificate confirming the fair market value) and the gift was made to either of the following donees:

• the Québec government (if the donation was made to an educational institution that is a mandatary of the state, see 50% increase);
• a Québec municipality or a municipal or public body performing a function of government in Québec (if the gift was made to a school service centre or school board, see 50% increase), provided that, according to the certificate issued by the Minister of Culture and Communications, the work was acquired by the municipality or the body in accordance with its policy for the acquisition and conservation of public works of art.

If, based on the above, the eligible amount of the gift can be increased by 25% and the gift of the public work of art is recognized as a gift of cultural property, enter the eligible amount of the gift on line 27. However, if the gift constitutes a charitable donation, enter the eligible amount of the gift on line 8.

If, based on the preceding, the eligible amount of the gift cannot be increased and the gift of the public work of art is recognized as a gift of cultural property, enter the eligible amount of the gift on line 21 or 29, depending on the donee.

However, if the gift constitutes a charitable donation, enter the eligible amount of the gift on line 1, 2, 3 or 10, depending on the donee (see Gift of a work of art whose value cannot be increased as a public work of art).

50% increase

The eligible amount of the gift can be increased by 50% if you hold a certificate confirming the fair market value of the public work of art (see Certificate confirming the fair market value below) and the gift was made to either of the following donees:

• an educational institution that is a mandatary of the state;
• a school service centre or school board governed by the Education Act or the Education Act for Cree, Inuit and Naskapi Native Persons;
• a registered charity whose mission is education and that is one of the following:
  • an educational institution established under Québec law,
  • a general or vocational college,
  • an educational institution at the university level,
  • a private educational institution accredited for the purposes of subsidies under the Act respecting private education.

In order for the 50% increase to apply, the certificate issued by the Ministère de la Culture et des Communications (MCC) must confirm that the work of art acquired by the donee was acquired for installation in a place accessible to students and that its conservation can be ensured.

If, based on the preceding, the eligible amount of the gift can be increased by 50% and the gift of the public work of art is recognized as a gift of cultural property, enter the eligible amount of the gift on line 25. However, if the gift is a charitable donation, enter the eligible amount of the gift on line 6.

If, based on the preceding, the eligible amount of the gift cannot be increased and the gift of the public work of art is recognized as a gift of cultural property, enter the eligible amount of the gift on line 21.

However, if the gift constitutes a charitable donation, enter the eligible amount of the gift on line 1 or 2, depending on the donee (see Gift of a work of art whose value cannot be increased as a public work of art).

Gift of a work of art whose value cannot be increased as a public work of art

You can claim a tax credit if you donate a work of art whose value cannot be increased as a public work of art and the donation constitutes a charitable donation (for example, a gift of a work of art to a registered charity), provided the donee disposes of the work of art in the year the gift is made or in any of the subsequent five years. If you receive the receipt for your gift after filing your return, you can ask to have the credit granted for the year of your gift by filing form TP-1.R-V, Request for an Adjustment to an Income Tax Return.

This does not apply to a gift of a work of art:

• that constitutes a gift of cultural property;
• made to the government of Canada, Québec or another province;
• made to a Canadian municipality;
• made to an organization that acquired the work of art as part of its primary mission; or
• made to a municipal or public body performing a function of government in Canada.

Gift of a building for cultural purposes (line 12)

If you donated a building situated in Québec that can house artist studios or one or more cultural organizations, the eligible amount of the gift can be increased by 25%, provided both of the following conditions are met:

• The MCC issued you a qualification certificate for the building, along with a certificate confirming its fair market value based not only on the value of the building itself, but also on that of the land on which it is located.
• The gift was made to one of the following donees:
  • a Québec municipality or a municipal or public body performing a function of government in Québec;
  • a registered charity operating in Québec for the benefit of the community, such as the Société d’habitation et de développement de Montréal, or operating in the arts and culture sector;
  • a registered cultural or communications organization; or
  • a registered museum.

If both conditions are met, enter the eligible amount of the gift on line 12 (to determine the eligible amount, you must use the fair market value shown on the certificate issued by the MCC). If not, enter the eligible amount of the gift on line 1, 2 or 3, depending on the donee.

Table 1—Charitable donations and gifts (lines 1 through 14)

Table 2—Gifts of cultural property (lines 21, 25, 27 and 29)

Table 3—Ecological gifts and gifts of musical instruments (lines 22 and 23)

Additional tax credit for a large cultural donation (Part B)

You can only claim the additional tax credit for a large cultural donation for one donation. You can claim it for a large cultural donation made in the year, as well as for any part of such a donation made in the last four years that you have never used to calculate the tax credit. You can carry the unused part of the eligible amount of the donation forward four years from the year of the donation.

A large cultural donation is a monetary donation (see the note below) with an eligible amount of at least $5,000 made in one or more instalments to one of the following donees:

• a registered charity operating in Québec in the arts and culture sector;
• a registered cultural or communications organization; or
• a registered museum, the Musée national des beaux-arts du Québec, the Musée d’art contemporain de Montréal, the Musée de la civilisation or a museum located in Québec and established under the Museums Act.

If you made such a donation, you can claim both the tax credit for charitable donations and other gifts and the additional tax credit for a large cultural donation. The additional tax credit is equal to 25% of the eligible amount of the donation (maximum $25,000).

Tax credit for cultural patronage (Part C)

You can claim a tax credit for cultural patronage donations you made in the year, as well as for any part of such donations made in the last five years that you have never used to calculate the tax credit. You can carry the unused part of the eligible amount of the donation forward five years from the year of the donation.

A cultural patronage donation is a monetary donation (see the note below) with an eligible amount of at least $250,000 made to one of the following donees:

• a registered charity operating in Québec in the arts and culture sector;
• a registered cultural or communications organization; or
• a registered museum, the Musée national des beaux-arts du Québec, the Musée d’art contemporain de Montréal, the Musée de la civilisation or a museum located in Québec and established under the Museums Act.

You may also be eligible for the tax credit if the eligible amount of the donation is at least $25,000 and the donation is made pursuant to a pledge registered with the Minister of Culture and Communications under which you undertake to pay at least $250,000 to the same donee over a period of no more than ten years (the eligible amount of the donation for each year must be at least $25,000).

However, your pledge ceases to be eligible (in which case, you cannot claim the tax credit for cultural patronage) if:

• you declare bankruptcy in a calendar year covered by the pledge;
• you pay the total amount covered by the pledge by the end of the previous taxation year; or
• you die during the year.

The tax credit is equal to 30% of the eligible amount of the donation. You cannot claim it if you have already claimed the tax credit for charitable donations and other gifts or the additional tax credit for a large cultural donation for the same donation.

However, if you did not pay the donee at least $25,000 for a year for which you received the tax credit for cultural patronage, you may have to pay a special tax. To calculate it, complete form TP-1129.69.2-V, Special Tax Relating to the Tax Credit for Cultural Patronage.