Following on from my snarky insider trading post of yesterday, I received the following from kind read 'M' who makes an excellent point about Canadians disposing shares by gift after he noticed (and I didn't shame on me) that a fair chunk of the Avalon insider disposals were in the official category of "disposition by gift".
As he points out, we're now on December 29th and it might be a bit late get organized, but it's not TOO late. If this post prompts just one person to make a move and give to charity, that's good enough for me. I'll hand it over to 'M' and his mail. Thank you, sir.
As he points out, we're now on December 29th and it might be a bit late get organized, but it's not TOO late. If this post prompts just one person to make a move and give to charity, that's good enough for me. I'll hand it over to 'M' and his mail. Thank you, sir.
Now a better interpretation of this: 47 - Disposition by giftNow at this time of year this suggests donation to charity, under Canadian tax laws, donations of shares to charities is extremely beneficial for the donor and the recipient. The donor gets a tax deductions for the values on day of donation and ZERO capital gains and the charity get a bigger donation than it would otherwise get. Donation of flow-thru shares under this regime is extremely tax beneficial....As a public service, why don't you encourage your blog readers to donate flow thru shares to charity of their choice before Dec 31 !! ( its a bit late but still)
This is probably the case here:
Stock Options
If you are considering using employee stock options to make a gift, exercise the options and transfer the shares within 30 days AND within the same calendar year. There will be no capital gain and no taxable employee benefit.