Official receipts and tax credit: Christmas gifts in Canada

14% federal credit in 2026 on the first $200, official receipt, 75% limit and 5-year carry-forward: what a charity must know before Christmas.

In short In Canada, a Christmas gift earns a non-refundable tax credit that the donor claims themselves: 14% on the first $200 in 2026, 29% above that, 33% in the top bracket. Only a registered charity issues the official receipt. No receipt is possible for a draw ticket.

this article describes the rules in Canada.

How the donation tax credit works in Canada

The gift is not deducted from income: it earns a non-refundable tax credit, which the donor claims themselves on their income tax return (line 34900 for the federal level, according to the Canada Revenue Agency, CRA, known in French as ARC).

The gift must be made between 1 January and 31 December of the year concerned. For a Christmas gift, the deadline is therefore 31 December.

Federal rates: 14.5% for 2025, 14% for 2026

For 2025, the CRA gives a federal rate of 14.5% on the first $200 of gifts, 29% on the rest and 33% for the part of income in the highest bracket. For 2026, the rate of the first tier drops to 14%.

The Department of Finance specifies that only the first $200 of gifts claimed gets the lowest rate. The 14% in 2026 follows from the legal link with the lowest tax rate: the CRA has not yet published the 2026 filer pages, since the return is filed in 2027.

Beware of old articles and old e-mail templates. The pair "15% and 29%" is no longer accurate for a gift made in December 2026. Here is a simple federal example, for illustration only:

  • a $200 gift in 2026 gives a federal credit of $28 (14% of $200);
  • a $500 gift gives $28 on the first $200, plus $87 on the remaining $300 at 29%, so $115;
  • the 33% rate applies only to the part of income in the top bracket, above $258,482 in 2026 according to the CRA.

Provincial credits also exist, with their own rates, which vary from province to province. Quebec residents file a separate return with Revenu Québec. We give no provincial rate here: invite your donors to check with the CRA or Revenu Québec.

Limits, carry-forward and keeping receipts

The total of gifts claimed is generally limited to 75% of the donor's net income for the year.

A gift that is not used that year can be claimed in the following 5 years. The donor must keep the official receipts and proof of payment for 6 years, according to the CRA.

Who can issue an official receipt?

Only qualified donees (donataires reconnus) can issue an official receipt for tax purposes, and the most common category is the charity registered with the CRA. An unregistered non-profit, a neighbourhood association or a parents' committee cannot.

If your organisation is not registered, do not promise any tax credit in your Christmas e-mails. Write instead that the gift does not give a right to an official receipt.

What the receipt must contain

The CRA page on the official receipt for a cash gift lists the mandatory details. Here is the essence, to check on the official page before you print or set up your template:

  • the statement "official donation receipt for income tax purposes";
  • the name and address of the organisation as registered with the CRA, and its registration number;
  • a unique serial number, the place and date of issue, and the date or year the gift was received;
  • the donor's full name, with the middle initial, and their address;
  • the amount of the gift, the amount and description of any benefit received, and the eligible amount;
  • the signature of an authorised person, plus the name and website of the CRA.

The information must be legible and hard to alter. For the electronic signature and for cases where the benefit is over 80% of the value, see CRA publication P113.

Draw tickets and gifts with a benefit

Buying a draw ticket is not a gift: the CRA allows no receipt for the ticket price. A Christmas raffle must therefore never be presented as a deductible gift. A gift with a benefit, such as a benefit dinner, is handled separately: the receipt shows only the eligible amount.

A draw is a regulated lottery activity. The Criminal Code (section 207) allows it for a charity, but only with a provincial licence and under its conditions. Ontario goes through the municipality or the Alcohol and Gaming Commission, and Quebec through the Régie des alcools, des courses et des jeux. A provincial licence is not valid in another province: ask your province's authority for advice before launching anything.

How to do it with WeGlow.world

WeGlow.world does not issue Canadian official receipts. The receipt is the job of your registered charity, with its registration number, serial numbers and signature. What the platform does is make giving simple and recognition warm.

If your organisation is on WeGlow.world, the donation page is completed in three steps: amount, details, summary. It accepts one-off and monthly gifts, works on a phone and asks for the first name and e-mail, which gives you the address to send the receipt from your own system. Write a thank-you text that mentions the 31 December deadline, and your supporters can start their own action page.

Four Christmas experiences are being designed, as concepts until the official launch: Glow Room, Starry Sky, Gift Yard and Card Wall. In the Glow Room, a 3D living room, every gift becomes a decoration on the Christmas tree. To start for free with an account, create it on WeGlow.world. See also our Christmas campaign ideas for a charity in Canada, how to organise a Christmas campaign and the online Christmas campaign.

Frequently asked questions

Short answers to the questions charities ask most often before the holidays.

What is the federal tax credit for a Christmas gift in 2026?

It is 14% on the first $200 of the year's gifts, 29% on the rest, and 33% for the part of income in the top bracket. In 2025, the rate of the first tier is 14.5%.

Does my organisation need to be registered to issue a receipt?

Yes. To issue an official receipt for tax purposes, you must be a qualified donee, such as a charity registered with the CRA. An unregistered non-profit cannot issue one.

Can you issue a receipt for the purchase of a draw ticket?

No. According to the CRA, the price of a lottery ticket is not a gift. Never present a raffle as a deductible gift, and check the licence your province requires.

Until when can a donor claim their Christmas gift?

A gift made by 31 December at the latest counts for the current year. If it is not used right away, it can be claimed in the following 5 years, within the limit of 75% of net income.

Does WeGlow.world issue Canadian official receipts?

No. WeGlow.world does not issue Canadian official receipts. Your organisation issues them itself, with its registration number. The donation page collects the donor's first name and e-mail to thank them.

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