Registered Assets – RRSPs and RRIFs

Donating Registered Assets such as a Registered Retirement Savings Plan or a Registered Retirement Income Fund can be an effective way to help a charity and reduce taxes payable by your estate.

Registered Retirement Savings Plans (RRSPs) and Registered Retirement Income Funds (RRIFs) often create large tax liabilities for a taxpayer in the year of death, since the entire amount of the plan is included in the taxpayer’s income in one year. If your RRSP or RRIF has a registered charity as the direct beneficiary, your estate will receive a donation receipt for the entire value of the plan. Your estate may claim gifts in the year of your death equal to 100% of your net income in that year and the preceding year. Your gift will also not be subject to probate fees or delays in settlement.