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Charitable Gift Annuities

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A charitable gift annuity is an irrevocable contract between you and a charity, under which you contribute cash or other property in exchange for a specified, guaranteed, tax-preferred income paid at regular intervals for life.

Who would be interested in purchasing a charitable gift annuity?

It would appeal to individuals who are age 65 plus, who:

  • Would like to maximize their current after-tax income;
  • Would like to make a current gift to a charity but prefer not to surrender present income.
A charitable gift annuity offers maximum current after-tax income and a current donation to a charity. Depending on age, all or a substantial portion of the annuity payments will be tax-free.

How does it work?

  1. You decide to make a gift of cash or property to the MS Society.

  2. Acting on your behalf, the MS Society uses a portion of the contribution (normally 70-75%) to arrange for the purchase of a commercial annuity that will pay you the agreed upon income amount at regular intervals.

  3. The MS Society retains the excess and uses it for its charitable purposes as agreed with you, the donor.

  4. Your payments are made either directly to you, or to the MS Society, which in turn pays them to you.

  5. The MS Society sends you a special form (if required) for tax purposes.

Example:
Female, age 78, contributes $50,000 for a gift annuity.

Life expectancy 11.9 years
Annual payments @ 8.2% $4,100
Total expected return $48, 790
Tax-free portion of payment 100%
Donation receipt $1,210

This example is subject to change according to the rates available.


For more information, please contact the MS Society Office in your area.

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Charitable reg number
10774 6174 RR0001

Multiple Sclerosis Society of Canada
Toll free to reach the nearest regional office: 1 800 268-7582

To locate the MS Society office near you, please select your region:

E-mail: info@mssociety.ca
(Please provide your town and province in your e-mail)

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