Government of Canada Extends 2024 Charitable Donation Deadline to February 28, 2025
December 30, 2024
In response to the recent four-week Canada Post labour disruption, the Government of Canada has announced an extension to the charitable donation deadline for the 2024 tax year. Donors now have until February 28, 2025, to make contributions that qualify for 2024 tax credits—a significant departure from the usual December 31 cutoff.
The postal strike, which spanned mid-November to mid-December, disrupted mail services during a crucial period for charitable giving. Many organizations rely heavily on holiday donations to fund their essential programs, making this a particularly challenging year.
The government’s proposed change aims to give donors additional time to ensure their contributions reach charities, enabling those organizations to maintain critical services for the communities they serve. Legislation to amend the Income Tax Act will be introduced when Parliament reconvenes in early 2025 to formalize this extension.
Lingering Questions
While the extension provides much-needed relief, it also raises important questions to consider when donating:
- Will the new deadline apply to corporate donations as well as individual contributions?
- How will the extension affect the tax implications of gifts, such as donating appreciated assets?
- Will donors have the flexibility to apply contributions made between January 1 and February 28, 2025, to either the 2024 or 2025 tax year?
Answers to these questions are expected when Parliament addresses the legislative amendments. However, the timing of the next session remains uncertain due to potential non-confidence motions and the possibility of prorogation.
What Should Donors Do Now?
Given the uncertainty surrounding the legislative process, donors are encouraged to make their contributions before December 31, 2024, if possible. Utilizing electronic methods such as credit card payments or wire transfers can ensure that donations are received and processed promptly, bypassing any lingering mail delays.
“This temporary adjustment underscores the critical role donors play in supporting charitable organizations during challenging times. With the extra time, there’s a greater opportunity to make a meaningful impact.” says Rachael Steinke, CEO of Saskatoon Community Foundation.
For more information on making a donation, please visit our website.
Contact:
Jen Pederson
Philanthropic Advisor & Manager of Development
Saskatoon Community Foundation
Phone: 306-665-9880