³ÉÈËÓ°Òô

Gifts

There are no inheritance and estate taxes in Canada. Gifts and inheritances are not included in the recipient's income in Canada. However, gifting a capital property, such as a piece of real estate (other than a principal residence) or an investment, may trigger a deemed disposition at fair market value. Therefore the giver, not the recipient, will have to pay tax on any resulting capital gain (see CA1.3.2). This is so even though the giver has not actually received any value for the property.

If an income producing property is given to a child who is under 18 years old or to a spouse, the income from the property will normally be attributed back to the person giving the gift, under what are known as the attribution rules. In addition, any capital gains from the gifted property to a spouse will be attributed back to the person giving the gift.

However, gifts from an employer to an employee are generally considered a taxable benefit to